Quadgas Investments BidCo Limited has entered into agreement to potentially acquire the remaining 25% ownership interest in Cadent from National Grid plc. This acquisition to complete at any time between March 2019 and 31 October 2019
Quadgas Investments BidCo Limited (‘Quadgas’), a consortium of long-term infrastructure investors including Allianz Capital Partners on behalf of the Allianz Group, is pleased to announce it has entered into an agreement to potentially acquire the remaining 25% ownership interest in Cadent Gas (‘Cadent’) from National Grid plc (‘National Grid’).
The acquisition is at the option of National Grid or Quadgas (as applicable) to complete at any time between 1 March 2019 and 31 October 2019, subject to no less than six months’ prior written notice and satisfaction of customary regulatory conditions.
In March 2017, Quadgas announced that it had acquired a 61% interest in National Grid’s gas distribution networks. At the same time, Quadgas and National Grid announced that they agreed the potential future sale and purchase of an additional 14% interest in the networks. As part of the March 2017 transaction, Quadgas was also granted pre-emption rights over the residual 25% interest held by National Grid.
The proposed follow-on investment represents a deepening of Quadgas’ commitment to Cadent. Once this transaction is closed (subject to the aforementioned conditions), Quadgas will have a 100% ownership interest in Cadent.