CLP assists Fortum in the sale of its 50% ownership in Fortum Oslo Varme
Fortum sells its 50 % ownership in Fortum Oslo Varme AS to an investor consortium comprising Hafslund Eco AS, HitecVision and Infranode.
CLP assisted Fortum in the transaction.
The total consideration for Fortum’s share is approximately NOK 10 billion on a cash and debt free basis (approximately EUR 1 billion) and as part of the transaction, Fortum will deconsolidate a related NOK 2 billion loan from the City of Oslo. The consideration is based on a 100% enterprise value of NOK 20 billion (approximately EUR 2 billion). The transaction is subject to approval by the Oslo City Council (Bystyret), necessary regulatory approvals and fulfilment of the customary closing conditions. The closing of the transactions is expected during the second quarter of 2022.
Fortum Oslo Varme is the largest supplier of district heating in Norway and supplied 36% of district heating generated in Norway in 2021. It sold 1.8 TWh of district heating and generated 0.1 TWh of electricity with a comparable EBITDA of EUR 88 million, with very marginal impact on EPS. Fortum Oslo Varme’s waste-to-energy plant at Klemetsrud, Oslo is Norway’s largest with a capacity to end-treat 315,000 tonnes of waste per year.
The CLP team was led by Amund Erdal and consisted of Lars Strøm Killengreen, Lars Gunnar Aas, Arve Jahren, Stephan Brodschöll, Vilde Sinding Engan and Axel Manø Juul.
More information is available here and here.