LONDON (dpa-AFX) - National Grid plc (NG.L) agreed to sell a further 20% equity interest in its UK gas transmission and metering business to the existing majority owners, a consortium of long-term infrastructure investors led by Macquarie Asset Management.
The Further Interest is on equivalent financial terms to the original 60% transaction, which was completed in January 2023.
National Grid expects to complete the sale in the second half of calendar year 2023.
In addition, National Grid confirmed that it has entered into a new option agreement with the Consortium for the potential sale of the remaining 20% shareholding in National Gas.
The Consortium has the option, exercisable between 1 May 2024 and 31 July 2024, to acquire all or part of the Remaining Interest. If the option for the Remaining Interest is partially exercised by the Consortium, National Grid will have the right to put the remainder of its equity interest in National Gas to the Consortium, which can be exercised by National Grid between 1 December 2024 and 31 December 2024.
If one or both of the options are exercised, the consideration for the Remaining Interest is expected to be paid in cash to National Grid on equivalent financial terms to the original 60% transaction.
Following completion of the sale of the Further Interest in National Gas, National Grid plans to use total proceeds of about 0.7 billion pounds towards general corporate purposes including repayment of debt.
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