Iberdrola sells Maine Natural Gas for around 90 million dollars to the US energy company Unitil
Iberdrola has sold 100% of the US company Maine Natural Gas (MNG) to Unitil, a public energy holding company with operations in Maine, New Hampshire and Massachusetts. The deal is valued at approximately $90 million (subject to closing adjustments).
MNG's assets include 231 miles of gas pipelines and it serves around 6,000 customers. This transaction reinforces Iberdrola's strategy focused on the sale of non-strategic assets, portfolio optimisation with value creation, capital discipline and simplification of its structure. MNG is a small gas business, not essential for Iberdrola, and therefore fell outside the company's strategic scope. With this divestment, the company is focusing its investment on the US electricity networks, which account for 80% of the company's business in the country.
The operation is pending the usual authorisation processes for this type of transaction, but is expected to close by the end of the year.
Alliances for growth
In recent years, the company has pursued a strategy of alliances and divestments to accelerate its growth and boost the electrification of the economy while maintaining its financial strength. In addition to the agreement with Kansai a few weeks ago to accelerate electrification in different countries, the company chaired by Ignacio Galán has carried out the following operations in recent months:
- It has sold the Baixo Iguaçu hydroelectric power station.
- It has given Kansai a stake in the German offshore wind project Windanker, valued at 1.28 billion euros.
- It has bought the British distributor ENW for 5 billion. It has finalised the merger with Avangrid, after acquiring the 18.4% it did not already control to strengthen the electricity grid business in the USA.
- In February 2024 it sold more than 8,400 MW of combined cycle gas plants in Mexico for 6.2 billion dollars.
- In December 2023, Iberdrola finalised the strategic agreement with Masdar to co-invest up to 15 billion in offshore wind and green hydrogen in Germany, the UK and the US.
- In September 2023, the company signed an alliance with GIC for the expansion of transmission networks in Brazil for 430 million euros.
- In March 2023, Iberdrola and BP launched a joint venture to roll out 11,700 fast-charging points in Spain and Portugal and have set up a 50/50 joint venture to develop a 25 MW green hydrogen project, the largest plant in Spain.
- In January 2023, it signed an alliance with Norges Bank to co-invest in renewables which, after its expansion, will reach 2,500 MW.
- Iberdrola and MAPFRE have continued to advance in their strategic alliance by incorporating 150 new MW through a joint venture, which already has 450 MW.
- In addition, Iberdrola signed an alliance with Energy Infrastructure Partners to co-invest in the Wikinger offshore wind farm and strengthen its offshore wind portfolio.
