National Grid has engaged in a significant asset swap with PPL Corporation to buy UK-based grid activities for £14.2bn (EV) and to sell US-based gas and electricity activities for £3.7bn. The group also plans the sale of its UK-based gas division and is thus shifting from a US growth-driven strategy to UK asset consolidation, and therefore moving towards greater exposure to the growing electricity market. A strategically promising move.

18 Mar 2021
From US expansion to UK consolidation

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From US expansion to UK consolidation
National Grid plc (NG:LON) | 1,026 15.4 0.1% | Mkt Cap: 50,287m
- Published:
18 Mar 2021 -
Author:
Nicolas Bouthors -
Pages:
3 -
National Grid has engaged in a significant asset swap with PPL Corporation to buy UK-based grid activities for £14.2bn (EV) and to sell US-based gas and electricity activities for £3.7bn. The group also plans the sale of its UK-based gas division and is thus shifting from a US growth-driven strategy to UK asset consolidation, and therefore moving towards greater exposure to the growing electricity market. A strategically promising move.