Fortum to divest its turbine and generator services to Elcoline Group Oy
Source: www.gulfoilandgas.com 11/1/2024, Location: Europe
Fortum has signed an agreement to sell its turbine and generator services to industrial technical services provider Elcoline Group Oy.
The divestment is part of Fortum’s ongoing strategic review of its Circular Solutions businesses. The Circular Solutions businesses are not in the core of Fortum’s strategy. Fortum’s strategic focus is on delivering clean energy and driving decarbonisation of industries in the Nordics.
The transaction will not have any material financial impact on Fortum Group’s result. The transaction is subject to customary closing conditions and is expected to be completed in the fourth quarter of 2024.
The turbine and generator services businesses are located in Finland, Sweden and Germany and currently employ approximately 170 employees.
After the divestment, Fortum continues the strategic review of its remaining Circular Solutions’ businesses: battery recycling business and UK-based waste-to-energy business. The net assets of these remaining businesses total approximately EUR 70 million and they have approximately 200 employees. For the last twelve months (including Q3 2024), the comparable EBITDA was approximately EUR -20 million.
