Anticipated Bidders for Energia Include Kretinsky's EPH and Itochu, According to Insider Sources
Multiple Global Investors Eye Irish Utility Energia Group for Potential Acquisition
London - Key global players are poised to submit preliminary, non-binding bids for Energia Group, an Irish utility supplier. The anticipated bidders include the Czech energy group EPH, backed by billionaire Daniel Kretinsky, and Japanese trading house Itochu, according to four sources familiar with the situation.
Additionally, investor Ardian, Asterion Industrial Partners, and CPP Investments, Canada Pension Plan Investment Board, are expected to participate in the bidding process. Itochu is rumored to collaborate with a consortium, while CPP Investments might team up with Britain's Octopus Energy, with which it already has an investment connection.
After being purchased by private equity firm I Squared for nearly $1 billion in 2016, the new round of sale could value Energia Group at over €2 billion ($2.27 billion) including debt, according to the sources and a third one.
The submission of non-binding offers is due this week, the sources and a fourth one reported. All four sources requested to remain anonymous due to the confidential nature of the matter.
I Squared, CPP Investments, Itochu, EPH, Ardian, Asterion, and Octopus Energy declined to comment. Energia Group deferred to I Squared, while Octopus Energy did not immediately respond to a request for comment.
Energia Group, which caters to roughly 17 percent of Ireland's total electricity needs, has drawn investor interest following the acquisition of Electricity North West by Iberdrola last year. The company boasts investments in renewables, power distribution, data centres, and gas turbines.
Recently, Energia Group gained regulatory approval to construct a data centre in Dublin, allowing the sale process to progress. This information was first reported on our website last year, that I Squared was exploring the possibility of selling Energia.
Finance professionals are examining potential investment opportunities in Energia Group, given the anticipated bids by global investors such as Itochu, Ardian, Asterion, CPP Investments, and EPH. If successful, the new owners could value Energia Group at over €2 billion ($2.27 billion) in the upcoming sale, including debt.
