ZURICH, Aug 28 (Reuters) - Alpiq on Monday suspended plans to unload nearly half of its hydroelectric plants, saying potential buyers failed to offer attractive prices and were not prepared to take on risks associated with the money-losing assets.
Last year, the Swiss utility said it was seeking to sell up to 49 percent of its hydroelectric assets that include Grand Dixence, at 285 meters the tallest gravity dam in the world. [reut.rs/2gh9w3q ]
Alpiq concluded that there were no buyers for the portfolio, even as the utility’s first-half loss widened to 109 million Swiss francs ($114 million) as its generation assets continue to lose money amid low European wholesale power prices.
“The main reason for the suspension was the fact that the three criteria defined for the transaction –- price, contractual conditions and transaction security -– were not all fulfilled,” Alpiq said in a statement. “In particular, potential investors were not prepared to share the burden of the unforeseeable regulatory risks.”
$1 = 0.9561 Swiss francs Reporting by John Miller; Editing by Michael Shields