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- PNB and the EPF, in a joint statement on Wednesday, reaffirmed their commitment to the project, citing their confidence in its prospects and potential upside.
KUALA LUMPUR (Oct 29): Permodalan Nasional Bhd (PNB) and the Employees Provident Fund (EPF) said there are no immediate plans to exit the Battersea Power Station project in London. This comes amid talk of the funds looking to sell the commercial asset within the development they acquired in 2019.
PNB and the EPF, in a joint statement on Wednesday, reaffirmed their commitment to the project, citing their confidence in its prospects and potential upside.
“As such, there are no immediate plans to proceed with any exit,” the country’s largest fund manager and the provident fund said.
PNB and the EPF noted, however, that they do receive proposals from parties interested in investing in the project and will evaluate “any such proposals carefully in line with our investment criteria and considerations”.
“As such, typically when investments reach maturity and achieve targeted returns, we would consider the opportunities for monetisation or the introduction of strategic partners to support future capital requirements and growth,” they said.
Bloomberg, citing sources, reported last week that PNB and the EPF have appointed BNP Paribas to advise on a potential sale of the Battersea Power Station asset after receiving expressions of interest from investors looking to acquire them.
No guide price for the asset was disclosed, but it was last transacted at £1.6 billion (RM8.86 billion) when PNB and the EPF acquired it in 2019 from the wider consortium that rejuvenated the decommissioned power station.
The consortium, Battersea Project Holdings Co Ltd, comprises S P Setia Bhd (KL:SPSETIA) and Sime Darby Property Bhd (KL:SIMEPROP), both with a 40% stake, and the EPF with 20%.
It acquired the power station and the surrounding land for about £400 million in 2012 and embarked on one of London’s largest ever redevelopment projects.
The EPF and PNB, substantial shareholders of both S P Setia and Sime Darby Property, said the Battersea project remains a key strategic investment for the consortium’s shareholders.
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