Swiss Life Asset Managers (SLAM), on behalf of its funds, and as the majority partner in the consortium with Schroders Greencoat, has acquired Equans’ UK district heating and cooling portfolio.
Schroders Greencoat is the specialist renewables manager of Schroders Capital.
The portfolio is fully operational and consists of 12 district heating and cooling networks, servicing residential, commercial, public and retail customers making it with a capacity of 432MW heating, 117MW cooling and 67MW of electricity the largest city-scale district heating company in the UK.
SLAM said that the acquisition of Equans’ district heating and cooling portfolio was a complementary fit to the infrastructure investment strategy of the funds involved, as well as a further diversification play.
The company has a strong operating asset case with long term and inflation-linked contracts with a remaining life on average of 22 years and is committed to accelerating the transition towards net zero.
In the coming years it is planned to increase the density of the networks and support the continued decarbonisation and growth of both existing and new heat networks.
Roman Wyss, senior portfolio manager at SLAM, said: 'District heating and cooling uptake has grown with the increasing need for cleaner and more efficient energy supply.
'We look forward to developing and innovating the portfolio further, as associated technologies have the potential to be a key way to reduce the carbon footprint of the heating and cooling infrastructure, especially if based on renewable energy sources and not reliant on fossil fuels. We look forward to being part of this journey.'
