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Fortum wraps €530M sale of district heating business in Finland

Fortum Oyj completed the sale of its district heating business in Joensuu, Finland, to Savon Voima Oyj for €530 million.

The company will record a tax-exempt capital gain of approximately €430 million in its City Solutions segment's first-quarter 2020 results, according to a Jan. 10 news release.

The transaction is one of the deals Fortum announced in December 2019. It is also selling an 80% stake in its portfolio of onshore wind plants across Norway, Sweden and Finland to funds advised by Credit Suisse Energy Infrastructure Partners AG, the investment manager of Credit Suisse Group AG, for €250 million.