Vattenfall to buy Uppsala Energi

Vattenfall to buy Uppsala Energi It has been proposed that Vattenfall AB be permitted to buy Uppsala Energi. A proposal for an agreement has been drawn up between the parties. In order to become binding, the agreement must be approved by Uppsala Municipal Council. The agreement means that Vattenfall will buy the company's entire operations: electricity network, electricity trading, and district heating including peat cutting and waste incineration. The Municipality of Uppsala will be paid a purchase price of SEK 3 400 million, which it can use towards paying off its loans. Approximately a dozen interested parties were involved in the bidding. Of these, the seller considered that Vattenfall is the best equipped to operate Uppsala Energi in the future in a manner that is advantageous for the municipality's inhabitants. "With regard to price and other conditions, Vattenfall has shown itself overall to provide the best conditions. Vattenfall is the buyer that is best for the company's development in the long term, not least from the environmental point of view. The deal means a consolidation of the Municipality's economy and can create better preconditions for investing in neglected areas in the long term," says Annika Lindh, Chair of the Municipal Executive Board, who together with opposition councillor Gunnar Hedberg has led the work on producing the proposal. "Uppsala Energi is a well-managed company in a region where Vattenfall has long had a major presence. In the field of district heating in particular, the company has a high profile and good environmental performance, which means that it fits in well with Vattenfall's operations. The company's competence supplements Vattenfall's very well and can also be useful in our international operations," says Vattenfall's Acting President, Bertil Tiusanen. Issued by the Municipal Executive Board, Uppsala, and Vattenfall's Press Office For further information, contact: Annika Lindh, Chair of the Municipal Executive Board, Municipality of Uppsala, telephone. 018-27 12 15, 0708-24 86 47. Gunnar Hedberg, Deputy Chair of the Municipal Executive Board, telephone. 018-27 12 35, 0708-24 86 44. Bertil Tiusanen, Acting President, Vattenfall AB, telephone. 08-739 50 08, 070-539 50 08. Uppsala Energi AB is an energy group that is wholly-owned by the Municipality of Uppsala. The group has an annual turnover of roughly SEK 1.5 billion. Its main products are electric power, electricity distribution, district heating, steam and cooling. The group includes Uppsala Energi AB, Uppsala Elnät AB, Ulva Kraft AB, AB Bjursås Kraft, Trilleholms Kraft AB, Roden Energi AB, Roden Energi Försäljning AB, Roden Energi Värme AB, Fyriskraft AB and Härjedalens Mineral AB (81%). The total energy supplied to more than 80 000 customers amounts to approximately 1.6 TWh of district heat and 2.5 TWh of electrical power. The group has 560 staff and the company is environmentally certified to ISO 14001. Vattenfall is one of the largest energy companies in Europe, accounting for 25 percent of total electricity sales in the Nordic region. The total electricity generation is 85 TWh. Vattenfall is a leading operator of regional and local distribution networks serving 1,1 millions customers. The Group also conducts operations in the areas of heating and natural gas, as well as transmission services and consulting for the energy sector. Vattenfall's biggest customers are energy companies, industrial enterprises, and retail customers in the Nordic region. Vattenfall is also active in the Baltic countries, Germany, the Netherlands, Poland, the Czech Republic, Austria, Southeast Asia and South America. ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2000/05/30/20040817BIT20450/wkr0001.pdf