European Diversified Infrastructure Fund II invests in private Estonian energy group Utilitas

The European Diversified Infrastructure Fund II SPSc, a long-term infrastructure fund managed by First State Investments, has become a financial investor in OÜ Utilitas, Estonia’s district heating company and renewable power producer.

According to an agreement signed, EDIF II has acquired an 85% shareholding in Utilitas with current shareholders and managers of Utilitas retaining 15% shareholding.

Utilitas operates 521km of district heating networks and supplies heat to approximately 166,000 households in eight Estonian cities, including in Tallinn, the capital city.

The management and supervisory boards of all three subsidiaries of the group, AS Utilitas Tallinn, AS Utilitas Eesti and OÜ Utilitas Tallinna Elektrijaam will remain unchanged. 

The transaction was financed by an international syndicate of banks consisting of Skandinaviska Enskilda Banken, Crédit Agricole Corporate and Investment Bank as underwriters and HSH Nordbank.

Shareholders of Utilitas were advised by Superia Corporate Finance and Triniti Law Firm. First State Investments was advised by DC Advisory and Cobalt Law Firm.