National Grid sells gas business stake for £13.8 billion

The utility will still own the 39% minority stake and will return £4 billion to shareholders following completion of the sale on or before 31 March next year, a company statement said.

“On completion, National Grid’s portfolio will be rebalanced towards higher growth assets, whilst maintaining a strong balance sheet and supporting our sustainable dividend policy,” said John Pettigrew, chief executive of National Grid.

In response, energy union GMB said it was “pleased” with the sale, but remains “concerned over the foreign ownership of such a vital piece of national infrastructure”.

GMB national officer Stuart Fegan commented: “GMB looks forward to meeting with the new owners of National Grid's gas distribution business to set out the priorities of our members who have been instrumental in the success of the business to date.

“Staffing levels, succession planning, a directly employed workforce, terms and conditions, as well as pay and reward are the priorities for our membership going forward.”

A total of 5,700 employees are involved in the in scope of sale, while 130,000km of pipes are being transferred, the union said.