Aquila, the US-based operator of electricity and natural gas distribution networks in the US, Canada and the UK, has reached an agreement to sell all of its Australian interests for approximately $589 million.
After fees, expenses and taxes, the deal is projected to yield the company approximately $445 million.
Aquila’s interests in Multinet Gas, United Energy and AlintaGas are to be sold to a consortium representing AlintaGas, AMP Henderson and their affiliates.
Aquila had been an active participant in Australia’s energy business since 1995 when it acquired a 34.5% indirect interest in United Energy Limited, the first electric distribution utility to be privatised by the state of Victoria in Australia.
In 1999, Aquila acquired a 25.5% equity interest (48% economic interest) in Multinet Gas, a gas distribution business serving 630,000 customers in Victoria. In 2000, Aquila acquired a 30% indirect ownership in AlintaGas. AlintaGas is a gas distributor and operates a retail gas business serving 463,000 customers in the state of Western Australia.
Based in Kansas City, MO, Aquila operates electricity and natural gas distribution networks serving customers in seven US states as well as in Canada and the UK. The company also owns and operates power generation assets.