CK Hutchison Subsidiaries, CK Asset to Sell U.K. Electricity Distributor to France's Engie

By Megan Cheah

Hong Kong-listed companies Power Assets, CK Infrastructure and CK Asset are planning to sell UK Power Networks to France's Engie.

The three companies jointly own UK Power Networks and fall under Hong Kong business magnate Li Ka-shing. They disclosed the proposed sale on Thursday, after Engie said that it aims to acquire the U.K.-based electricity distributor at an equity value of 10.5 billion pounds, equivalent to US$14.24 billion.

Energy and utility businesses investor Power Assets, which has a 40% stake in UK Power Networks, expects to net a gain of 10.7 billion Hong Kong dollars, equivalent to US$1.37 billion, from the sale. Property conglomerate CK Asset, which is disposing its 20% stake, is likely to gain HK$8.4 billion, it said.

CK Infrastructure estimates it will gain HK$14.5 billion from the sale of its 40% stake and taking into account its 36% interest in Power Assets.

The sales are subject to shareholder approval from all three companies and CK Infrastructure's parent company CK Hutchison, as well as regulatory approval.

The deal has an enterprise value of about 15.8 billion pounds, representing about 10 times UK Power Networks' estimated 2027 adjusted earnings before interest, taxes, depreciation, and amortization, Engie said in a separate statement.

Write to Megan Cheah at megan.cheah@wsj.com

(END) Dow Jones Newswires

February 25, 2026 20:37 ET (01:37 GMT)