Iberdrola, through its UK businesses SP Energy Networks and SP Retail, has completed a deal to divest its non-core, non-regulated stake in Gemserv in line with other minority shareholders in the UK electricity sector. The stake sale in the business, which no longer provides the licensed services to the ScottishPower group, indicates further progress made in the wider divestment and partnership strategy announced in November 2022.
The Gemeserv business provides data and technology professional services mainly offering consultancy and outsourcing across markets including energy, health, cyber & digital, and the public sector.
This transaction follows the agreement with Norges Bank Investment Management earlier this month, to co-invest in over 1,200 MW of new renewable energy capacity in Spain and marks the third deal in a strategy to support Iberdrola’s recently announced record €47 billion investment plan for the period 2023 – 2025, which includes the rotation of some non-core assets.
As part of the investment plan, approximately €27bn will be allocated to electricity networks globally. The company’s networks asset base will increase to €56bn in the next three years.
In the UK, ScottishPower will invest €3.8bn to 2025 in its networks business to deliver a smarter and more robust grid to support the energy transition. Currently the company manages more than 43,000km of overhead power lines and 65,000km of underground cables across its distribution and transmission networks, connecting more than 3.5 million homes and businesses.