CKI plans to bid for EDF’s UK subsidiary

Li Ka-shing is the Chairman of Cheung Kong (Holdings) Limited

Hong Kong-based Cheung Kong Infrastructure Holdings Ltd. (CKI), controlled by business baron Li Ka-shing, is planning a bid for EDF Energy, the UK arm of French state-controlled utility Electricite de France.

''The company and its 40 per cent affiliate Hong Kong Electric Holding Ltd. will jointly bid for UK power distributor EDF Energy by the middle of March,'' CKI Executive Director Andrew Hunter said at a news conference yesterday.

EDF Energy is the largest electricity supplier in the UK, supplying 7.8 million homes and businesses in the east and southeast of England, accounting for 28 per cent of the electricity distributed in the UK.

EDF had indicated that it hoped to attract offers in excess of €4 billion for the UK arm.

There were reports that four groups are interested in EDF Energy: a consortium including Australian infrastructure group Macquarie, the Canadian Pension Plan and Abu Dhabi's sovereign wealth fund ADIA; Scottish and Southern Energy (SSE), which has teamed up with Borealis, another Canadian pension fund; CKI; and National Grid.

EDF plans to retain its power generation and supply activities in Britain.