KKR-Led £15 Billion Bid for UK Power Networks Fails, FT Says

(Bloomberg) -- A £15 billion ($18 billion) takeover approach led by KKR & Co. for the UK’s largest electricity distribution business collapsed, the Financial Times reported.

CK Infrastructure Holdings, which jointly owns UK Power Networks Holdings Ltd., tried to increase the sale price before an agreement was due to be signed last month, the newspaper said, citing two people close to the deal who it did not identify. 

The bidder group, which also includes Macquarie Group Ltd., APG, China Investment Corp., Ontario Teachers’ Pension Plan Board and PSP Investments, had been in advanced talks over an agreement, people familiar with the issue told Bloomberg News in March. 

CK Infrastructure, KKR and Macquarie did not immediately respond to emailed requests for comment.

Read more: Macquarie, KKR Near $20 Billion Deal for CKI U.K. Power Unit

UK Power Networks is owned by Hong Kong tycoon Victor Li’s CK Infrastructure and fellow group companies Power Assets Holdings Ltd. and CK Asset Holdings Ltd. The company controls and maintains electricity cables across London and other regions of England, serving about 8.3 million homes. 

(Updates with details throughout.)

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