Downing Renewables & Infrastructure Trust (DORE) is planning to buy a Swedish grid and hydropower portfolio in a SEK300m deal (€30m).
The closed-end investment trust said it has signed an exclusivity agreement with Swedish multi-utility AB Edsbyns Elverk (EE), to buy the Swedish firm’s electricity distribution subsidiary Elektra Nät and a portfolio of three hydropower plants.
DORE said the proposed bid is subject to final due diligence approval by EE shareholders.
Tom Williams, the head of energy and infrastructure at investment manager Downing, said: “This proposed acquisition further diversifies DORE’s portfolio and revenue, with the addition of long-term regulated revenues from Elektra that are not exposed to energy prices.
“We are particularly excited about the possibility of building on the strong foundations in Edsbyn and growing the business there into a hub for our broader operations in the sector in Sweden.”
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