ENGIE to acquire UK Power Networks

26 Feb ENGIE to acquire UK Power Networks

(Oilandgaspress) – ENGIE today announces the signing of an agreement to acquire 100% of UK Power Networks (UKPN), the best-in-class electricity distributor in the UK, for an equity value1 of £10.5 billion.

This acquisition marks a major milestone in ENGIE’s ambition to become the best energy transition
utility, by strengthening its position in regulated electricity networks. It will also bolster the Group’s
presence in the UK, which will become its second-largest country of activity.

The enterprise value1 of the company (at 100%) stands at £15.8 billion, corresponding, for the
regulated activities, to a multiple of c.1.5x the estimated Regulated Asset Value (RAV) as of end-March 2026 and an estimated 2027 EBITDA multiple of c.10x, including the additional contribution of unregulated assets.

By its outstanding quality and its significant size, this acquisition is an essential step in rebalancing
its infrastructure activities toward regulated electricity networks and strengthens its footprint in
one of its key countries. Through this acquisition, ENGIE’s rebalancing is largely achieved in one
move, minimizing execution risk and providing strong visibility to capital allocation in the upcoming
years. This transaction will enhance both ENGIE’s growth profile and its risk profile via a higher
share of regulated and predictable revenues and cash flows.

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