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MOBILE & TELECOMMUNICATIONS | Mobile Software & Services / Networking & Connectivity
electranetuk.com

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Stage

Acquired | Acquired

Valuation

$0000 

About Electranet

Electranet is a specialist IP solutions house and IT service provider. The company provides services into the Public & Private Sectors where it Consults, Designs, Delivers and Maintains First Class Solutions.

Electranet Headquarter Location

Units 2 & 3 Lakeside, Headlands Business Park Salisbury Road, Ringwood

Hampshire, England, BH24 3PB,

United Kingdom

00 +44 (0)1425 481000

Latest Electranet News

Malaysia’s YTL powers up buyer search for South Australia’s ElectraNet

Oct 13, 2021

Share Malaysia’s YTL Power has put its stake in South Australia’s ElectraNet on the block, in effort to capitalise on red-hot investor interest in Australian electricity infrastructure. It is understood YTL has started testing Australian infrastructure investment funds and superannuation funds’ appetite for the 33.5 per cent ElectraNet stake, which analysts reckon could fetch $500 million to $1 billion. Soon after ElectraNet agreed to build a new interconnector between NSW and SA, one of its shareholders is considering its options. Jacky Ghossein Sources said YTL had sent a teaser document to Australian infrastructure players in the past week, notifying them of its intention to consider bids and formally kick off the sale process. Interested parties said the stake’s still subject to pre-emptive rights held by ElectraNet’s other investors, which include China’s State Grid and a trust owned by funds managed by Morrison & Co, Macquarie Infrastructure and Real Assets and Sunsuper. They said Sunsuper was arguably the most logical acquirer, given the cheque size and its desire to invest about another $1 billion in regulated Australian infrastructure. State Grid has not bought anything in Australia since it was knocked back for NSW’s Ausgrid in 2016 . Advertisement However, the fact YTL is testing appetite more broadly is a clear sign it wants to maximise proceeds for its stake and is willing to consider its options. The interested parties said Luminis Partners was involved in the potential sale. The same financial buyers that have popped up at AusNet Services, Ausgrid, Spark Infrastructure and NSW electricity transmission company Transgrid in the past year or two are expected to take a look. Investor sources said they were waiting to see more formal information before deciding whether to bid. YTL has owned the stake since South Australia’s ElectraNet was privatised more than two decades ago. Bankers said plenty of infrastructure funds and industry players had knocked on YTL’s door to acquire the stake since, with little luck. ElectraNet had a $2.7 billion regulated asset base as at June 30. Similar stakes have traded at 1.4 times to 1.5-times RAB in the past two years, which would make YTL’s investment worth more than $500 million on an equity value basis. The potential sale comes as ElectraNet prepares to bankroll the South Australian leg of the planned Project EnergyConnect, which is a new South Australian-NSW interconnector. The project is expected to cost $2.28 billion, according to the Australian Energy Regulator, and about one-quarter of that is expected to fall in South Australia and to ElectraNet. ElectraNet has confirmed it wants to see the new high-voltage electricity transmission connector built and is willing to fund it. Transgrid, which owns the NSW transmission network, will be responsible for constructing the NSW section of the interconnector and paying for it. Get a first look at tomorrow's headlines Sign up to the Street Talk First Look newsletter

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