Equans has signed an agreement to sell its UK district heating and cooling networks for approximately £260 million to a consortium of Swiss Life Asset Managers and Schroders Greencoat LLP, aligning with its strategic plan to divest asset-based activities.

Target Information

Equans, a prominent leader in the global energy and services sector and a subsidiary of the Bouygues Group, has entered into an agreement to sell its district heating and cooling networks in the United Kingdom. This transaction, signed on 15 September 2023, carries an enterprise value of approximately £260 million. The assets being sold encompass Equans Urban Energy, which includes East London Energy Limited and Equans DE Holding Company Limited, along with Humber Energy.

This divestment is strategically aligned with Equans' asset-based activity reduction plan, as detailed during the Capital Markets Day on 23 February 2023. The sale is not anticipated to affect Equans' revenue or Current Operating Profit from Activities (COPA) projections previously shared.

Industry Overview in the UK

The energy and services sector in the UK is rapidly evolving, particularly in the context of national efforts toward decarbonisation. Equans, generating approximately £2.5 billion in annual revenue, plays a cr