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Finnish gov't raises ownership of Gasum company

Staff writer ▼ | November 4, 2014
Finland has decided to buy more shares of natural and biogas company Gasum, the government said in a statement.
Government is buying   A natural and biogas company
To strengthen its security of supply and competitiveness of energy supply, the state is set to purchase 31 percent of shares from the state-owned Fortum holding in Gasum, and 20 percent of shares from Germany's E.ON holding in the company.

With the purchase, the state ownership in Gasum will increase to 75 percent in a deal worth 510 million euros ($637 million). Before the purchase, Fortum and E.ON owned a total of 51 percent of Gasum, and the State of Finland's holding in Gasum was 24 percent.

The remaining 25 percent is owned by the Russian state firm Gazprom, YLE reported.

"The role of natural gas in Finnish energy supply and in industrial use is important," said Sirpa Paatero, minister responsible for state ownership, said.

"I'm very satisfied that the Finnish state can execute a long-lasting decision to strengthen its security of supply and further secures a competitive energy supply for the use of Finnish industry," she added.

With increased ownership in Gasum, Finland aims to improve the company's capabilities to develop the country's gas market and infrastructure in natural gas, biogas and liquefied natural gas.

According to YLE, the Finnish government will consider purchasing Gazprom's 25 percent stake, if the Russian firm is willing to sell.

Natural gas, which accounts for more than 10 percent of Finland's energy, is currently imported from Russia.