VALOR served as the sole financial advisor to Alva-yhtiöt Oy in the divestment of the district heating network in the Central Finnish city of Viitasaari, with an annual total heat output of c. 50 GWh, as well as two smaller separate heat plants in Laukaa.
Alva is focusing its development efforts within district heating to its main grid in the City of Jyväskylä, and as such, made the strategic decision to divest the separate Viitasaari network to a player looking to solely direct its attention and efforts into the development of the Viitasaari network to the benefit of all local stakeholders.
“VALOR provided us with valuable support in the process of divesting the district heating business in Viitasaari. VALOR acted as a corporate finance partner and provided us with the process management up to the signing of the deal. Our goals of the transaction were well achieved through professional and yet pragmatic advice throughout the process”, says Tiina Mikkola, Vice President of Business Development at Alva
“We are very pleased with the outcome of the transaction, and I want to thank the Alva team for the trust they placed in us in supporting them execute the strategic decision to divest the Viitasaari district heating asset and operations. This transaction is also a testament to the fact that in spite of a challenging macro environment and financing market, there is still ample interest for best-of-breed infrastructure assets like Viitasaari. Best of luck to Nevel in the next development phase of the asset”, says Jonas Seemer, Partner and Head of Investment Banking at VALOR.
Alva-yhtiöt is a utility owned by the City of Jyväskylä providing electricity-, water-, and district heating services to its residential- and business customers in the Jyväskylä region. Alva promotes sustainable and environmentally friendly energy production and is at the forefront of the energy transformation.