Meridian Energy sells biomass, cogeneration unit to Pioneer Generation
Dec 20, 2012 - New Zealand utility Meridian Energy Ltd said Thursday it had sold its clean energy solutions subsidiary Energy for Industry Ltd (EFI) to local power producer Pioneer Generation Ltd for over NZD 50 million (USD 42m/EUR 32m).
The disposal was part of Meridian’s strategy to divest non-core assets.
Fraser Jonker, Pioneer Generation’s chief executive, said that the acquisition of EFI, which is involved in process heat, biomass and biofuel sectors, was part of the company’s diversification plans. He also praised EFI’s strong future growth potential.
Meridian Energy posted a 75% decline in net profit in its fiscal 2011/12 to NZD 74.6 million due largely to a drop in hydropower generation.