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The Markets
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Energy

Centrica shares rise after British Gas-owner's £318mln cash sale of two UK power plants

Centrica has sold the Langage and South Humber Bank combined cycle gas turbine power stations which have a combined capacity of 2.3 Gigawatts to the UK unit of Czech-owned Energeticky a prumyslovy holding, a.s. (EPH).

Shares in Centrica PLC (LON:CNA) rose after FTSE 100-listed utility firm announced it has sold two power plants for £318mln in cash to a Czech firm.

The British Gas-owner said it has sold the Langage and South Humber Bank combined cycle gas turbine power stations, which have a combined capacity of 2.3 gigawatts, to the UK unit of Czech-owned Energeticky a Prumyslovy Holding, (EPH), which already owns the Eggborough and Lynemouth power stations in the UK.

In a statement, Centrica said: "The transaction is consistent with Centrica’s strategy to shift investment towards its customer facing businesses and to seek opportunities in flexible peaking units, energy storage and distributed generation whilst reducing focus on large scale central power generation."

Read: Centrica offloads Canadian E&P joint venture for £240mln

Earlier this week, Centrica revealed that it was closing its Rough gas storage site, the UK's biggest.

Two weeks ago Centrica also announced the sale of its Canadian oil and gas assets, highlighting its move away from traditional energy to focus on flexible power generation assets.

In late morning trading, Centrica shares were up 2.8%, 5.6p at 207.7p.

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