Keppel Infrastructure Holdings is investing 53.02 million euros, or around S$80 million, in cash for a 20 percent stake in integrated European energy company MET Holding, Keppel and MET said in a filing to SGX Thursday.
In addition, Keppel Infrastructure and MET will enter a strategic tie-up to explore investment opportunities in European energy infrastructure assets, the filing said.
MET Group, which has 10.7 billion in revenue in 2018, has businesses in natural gas, power and oil markets, with a focus on multi-commodity wholesale, trading and sales, and energy infrastructure and industrial assets, the filing said.
“Our strategic investment in MET Group represents our first step into the dynamic European energy market. MET Group’s integrated strategy across the energy value chain is aligned with Keppel Infrastructure’s strategy,” Ong Tiong Guan, CEO of Keppel Infrastructure, said in the statement.
“We will not only gain exposure to the growing energy platforms that MET Group is active in, but we will also be able to leverage their presence to jointly explore energy infrastructure investment projects in the region,” Ong added.
Keppel Infrastructure is the wholly owned infrastructure arm of Keppel Corp.
The deal will be through Keppel Energy Switzerland Holding, and indirect wholly owned subsidiary of Keppel Infrastructure to be incorporated in Switzerland, the filing said.
The acquisition is subject to regulatory clearance, including from the European Commission and Ukraine, the filing said.