The French private investment firm Ardian has sold its minority holding of 25.5% in the Luxembourg utility company Encevo to China Southern Power Grid International, it was reported on Reuters.fr on 31 July 2018.
China Southern Power is held by a state-owed Chinese electricity company and, as reported on Delano on 4 July, had been shortlisted in an auction expected to fetch around €400 million, although the final purchase price has not been revealed.
Encevo operates in several energy business sectors via its two subsidiaries Creos and Enovos Luxembourg. Creos manages the electricity and gas networks, while Enovos Luxembourg is responsible for the sale of energy to a diversified portfolio of customers in Luxembourg and Germany.
The company also holds interests in power generation assets, particularly in the renewable energy sector (wind, biogas, solar and hydroelectric).
In July 2012, Ardian, along with co-investors, concluded the acquisition of a minority stake in Encevo (formerly Enovos International) with ArcelorMittal. In 2015, Ardian acquired another stake from E.on and RWE.
Ardian, along with the company's public shareholders--the Luxembourg state (28%), and the state-owned financial institutions SNCI and BCEE, which hold a joint 26.2%, and the City of Luxembourg with a 15.6% stake--has assisted Encevo in adjusting its strategy and organisation to the new configuration of the European energy markets.