National Grid Sells Grain LNG for £1.66 Billion, Shares Steady Amid Strategic Shift

National Grid (LON:NG) announced the sale of its Grain LNG business to a consortium led by Centrica plc and Energy Capital Partners LLC, part of Bridgepoint Group plc, for approximately £1.66 billion.

The deal, which includes a pre-completion dividend, aligns with National Grid's strategy to streamline its operations and focus on core energy network infrastructure.

Shares in National Grid are up by around 0.8% so far on Thursday. The stock has gained over 9% this year, although it has declined by approximately 3% in the last week.

The sale of Grain LNG, Europe's largest liquefied natural gas import terminal, represents a significant step in National Grid's strategic realignment, initially outlined in 2024.

The transaction is subject to customary government and regulatory approvals, with completion expected later in the year. The final consideration is also subject to certain completion adjustments.

CEO John Pettigrew emphasized the strategic rationale behind the sale. “Today's announcement of the sale of Grain LNG marks another successful step in delivering National Grid's previously communicated strategy to streamline our business and focus on networks, and follows the completion of the sale of our NG Renewables business in May 2025,” he stated.

The divestment of Grain LNG follows National Grid's May 2025 sale of its NG Renewables business.

The company plans to invest approximately £60 billion between April 2024 and March 2029 to upgrade its energy networks, with nearly 80% of this investment directed towards electricity networks.

National Grid currently holds a market capitalization of £51.62 billion.

Divestment Timeline

May 2024: National Grid announces strategy to streamline business and focus on networks.

May 2025: Completion of the sale of NG Renewables business.

August 2025: Announcement of Grain LNG sale for £1.66 billion.

Late 2025: Expected completion of Grain LNG sale (pending regulatory approvals).