releases

Eastern European Markets

PRESS RELEASE
December the 19th, 2011

Fortum to sell Fortum Energiaratkaisut Oy and
Fortum Termest AS to the EQT Infrastructure Fund

Fortum has agreed to sell Fortum Energiaratkaisut Oy and Fortum Termest AS to the EQT Infrastructure Fund. The total sales price, including net debt, is approximately EUR 200 million. Fortum's sales gain will be over EUR 50 million. The divestment is planned to be completed during the first quarter of 2012. The transaction is subject to the approval of the relevant competition authorities.

Fortum Energiaratkaisut Oy and Fortum Termest AS have been responsible for Fortum’s heat, steam and cooling business for SMEs and services sector in Finland and Estonia. In 2010, the combined net sales of the companies were about EUR 150 million and the total sales volume about 3.4 TWh. In 2010, EBITDA was on the level of EUR 20 million. Fortum Energiaratkaisut Oy employs 72 people in Finland and Fortum Termest AS employs 77 people in Estonia.

"The companies to be divested produce taylored energy solutions for their customers. This business differs significantly from large-scale district heat production and combined heat and power (CHP) production, which are the focus of Fortum’s strategy," says Jouni Haikarainen, Vice President, Fortum, Heat Division, Finland.

“Fortum Energiaratkaisut and Termest are well-run companies with highly skilled and dedicated management teams and personnel. Customer satisfaction is also very high. We see a lot of growth opportunities both in acquiring new customers and in the conversion of existing customers’ fossil fuel sites to use biofuels. In addition, we see potential in geothermal and hybrid heating/cooling solutions in which Fortum Energiaratkaisut has market-leading expertise” describes Risto Riekko, the future Chairman of the companies.

About Fortum:
Fortum's purpose is to create energy that improves life for present and future generations. We provide sustainable solutions that fulfil the needs for low emissions, resource efficiency and energy security, and deliver excellent value to our shareholders. Our activities cover the generation, distribution and sales of electricity and heat as well as related expert services. Fortum's operations focus on the Nordic countries, Russia, Poland and Baltic Rim area. In the future, the integrating European and fast-growing Asian energy markets provide additional growth opportunities. In 2010, Fortum’s sales totalled EUR 6.3 billion and comparable operating profit was EUR 1.8 billion. We employ approximately 10,500 people. Fortum’s shares are quoted on NASDAQ OMX
Helsinki.

About EQT:
EQT is the leading private equity group in Northern Europe with close to EUR 18 billion in raised capital and multiple investment strategies. Together with a superior network of Industrial Advisors, EQT implements its business concept by acquiring or financing high-quality medium-sized to large companies in Northern and Eastern Europe, Asia and the United States, developing them into leading companies. Development is achieved by applying an industrial strategy with focus on growth. Since inception, EQT has invested more than EUR 10.8 billion in around 100 companies and exited close to 50. EQT-owned companies have more than 550,000 employees.
The EQT Infrastructure Fund invests primarily in existing infrastructure in Northern and Eastern Europe but can also invest globally, particularly in North America. Investment targets are basic infrastructure, concession based infrastructure, social infrastructure and infrastructure-related services

Fortum Corporation
Corporate Communications

Further information
Jouni Haikarainen, Vice President, Fortum, Heat Division, Finland
tel. +358 40 709 5690

www.fortum.com


Compiler´s choice - More News Releases

Archive 2005. News Releases