National Grid £13.8 billion sale of 61% stake in gas distribution network

Overview:

• The National Grid (the UK gas and electricity distribution network) has agreed to sell a 61% shareholding in its gas distribution network to a consortium led by Macquarie for £13.8 billion.
• The consortium, known as the Quad Gas Group, is made up of Macquarie Infrastructure and Real Assets, Allianz Capital Partners, Hermes Investment Management, CIC Capital Corporation, Qatar Investment Authority, Dalmore Capital and Amber Infrastructure.
• The auction process for the sale was begun in 2015.
• The deal will see £4 billion returned to shareholders and £1.8 billion provided in debt financing.
• The deal could also see a future sale of a further 14% stake to the consortium.
• National Grid has 132,000 km of pipeline, delivers gas to 11 million customers and employs nearly 5,700 staff.

Sam Duke - Editor