Germany's RWE sells off Thames Water

17th October 2006, Comments 0 comments

17 October 2006, Essen, Germany (dpa) - German utility giant RWE said Monday it had agreed to sell Britain's biggest sewage and water company, Thames Water, to an Australian-run investment consortium for 4.8 billion pounds (9 billion dollars). Thames Water supplies drinking water to 8 million people and pipes away sewage for 13 million customers. The new owner, Kemble Water, belongs to Macquarie European Infrastructure Fund, a investment vehicle that describes itself as holding stakes in gas, water and tra

17 October 2006

Essen, Germany (dpa) - German utility giant RWE said Monday it had agreed to sell Britain's biggest sewage and water company, Thames Water, to an Australian-run investment consortium for 4.8 billion pounds (9 billion dollars).

Thames Water supplies drinking water to 8 million people and pipes away sewage for 13 million customers.

The new owner, Kemble Water, belongs to Macquarie European Infrastructure Fund, a investment vehicle that describes itself as holding stakes in gas, water and transport operations such as the railway line between Stockholm and its Arlanda airport.

RWE, one of Germany's two leading utilities, is backing out of its British water investment after deciding to focus on its core electricity and gas business. The transaction remains subject to approval by the RWE supervisory board and regulators.

The German company, which said a year ago it was seeking a buyer, commented that it would book a capital gain of hundreds of millions of euros in the transaction. There was no mention Monday of its other much-delayed bid to sell its American Water Works unit.

DPA

Subject: German news

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