SEAS-NVE and Eniig buy natural gas company with 215,000 customers

At spring, HMN Naturgas put its sales and trading company with 215,000 customers at sale. The energy companies SEAS-NVE and Eniig have jointly bought the customer portfolio and today the sales contract was signed. 

SEAS-NVE and Eniig have bought HMN Naturgas A/S with a strong customer portfolio based on the wish for a strengthened market position, larger volume and commercial opportunities. Many decades of experience in providing energy products shall give the two well-established energy companies the opportunity to utilize various synergies towards their existing business areas. The acquired customer portfolio will be divided between SEAS-NVE and Eniig and subsequently incorporated in the existing gas business of the two companies. 

“The purchase of HMN Naturgas is a significant commercial strengthening of our energy division, where natural gas will play a large role in complementing the business in the interaction with sale of electricity and energy savings consultancy. At the same time, we think that for a number of years, natural gas will be used as a natural alternative in relation to the transition to renewable energy. We consider our customers as energy customers and want to be able to give the best possible advice across the types of energies”, says Mads Brøgger, who is the managing director of Eniig Energi.

Both energy companies emphasize that the sale of natural gas on the Danish market shall remain Danish. The new natural gas supplier of the customers will thus be local. In addition to the local anchoring, the work of assuring the green transition is a significant factor for the two consumer-owned energy companies. 

“It is good news for HMN’s natural gas customers. Both Eniig and SEAS-NVE are cooperative societies focusing on the green transition. Among others this means that we through our commitment create a better total customer experience contemporary with the fact that we to a great extent take the responsibility of carrying on natural gas as a stepping stone for a fossil-free society – of benefit to our surroundings and all our customers”, says Ole Vestergaard, market director of SEAS-NVE.
 
HMN Naturgas I/S, which today is owned by 57 municipalities in the capital area, Central- and Northern Jutland, has in due time considered a new owner for the commercial part of the business since the government with its supply strategy prepared the ground for gathering the gas distribution grids and at the same time separating the grid companies (responsible for operation and maintenance of the distribution network) from the sales and trading companies (responsible for sales and customer service).

”I am extremely satisfied with the process, which we have had, and I think we have found the right buyer. They see things in a long perspective, are extremely well-established in the Danish supply sector and they are a quite right match. They can continue the positive development, for which we have been responsible hitherto, they can continue to run the company efficiently and provide the consumers with a competitive supply and a high service level. I am also glad that the buyers want to carry on a customer-friendly and cost-related price policy”, says chairman of the board of HMN Naturgas Ole Bjørstorp.

HMN Naturgas has entered into a principle agreement with the State to take over the gas grid. 

The parties of the agreement await the approval from the competition authorities, which is expected within the end of 2017. The sale is also conditional on approval from the committee of representatives of HMN Naturgas I/S and that the Danish Parliament adopts an existing bill for the municipal set-off in the natural gas area. During the period until this, the parties will be preparing the future planning process.

For additional information:
Ole Vestergaard, market director of SEAS-NVE,
telephone: +45 21 39 93 30
Martin Romvig, CEO of Eniig,
telephone: + 45 2121 9775
Ole Bjørstorp, chairman of the board of HMN Naturgas I/S,
telephone: + 45 51 20 35 11
Susanne Juhl, CEO of HMN Naturgas I/S,
telephone.: +45 21 43 10 55

SEAS-NVE
SEAS-NVE is Denmark’s largest cooperative energy- and fibre-optic broadband group with more than 400,000 customers and participators. Each of our participators own a little share of us. We attend to the interest of our participators and customers within energy and fibre-optic broadband. We are more than 800 employees and in 2016, our turnover was DKK 3.5 billion.
 
Eniig
Eniig is a cooperative society owned by 383,000 participators in Northern- and Central Jutland. We work for sustainable and simple solutions for everyone and help our customers in the business area electricity- and heat supply, fibre-optic broadband, electricity and gas, street light, energy savings and renewable energy. We are about 1000 employees. 

HMN Naturgas
HMN Naturgas I/S is Denmark’s largest gas company and supplies 1/4 million homes and companies with gas. The group is owned by 57 municipalities in the capital area, Northern- and Central Jutland. The group consists of the gas distribution company HMN GasNet P/S and the gas sales and trading company HMN Naturgas A/S and two minor companies which deal with biogas and gas for transport.
 
Advisors during the transaction
The buyer, SEAS-NVE and Eniig, has been advised by Nykredit Financial Strategy and Origination, Kromann Reumert and Deloitte Transaction Service. Seller, HMN Naturgas, has been advised by MHS Corporate Finance, Bruun & Hjejle and PwC.