Herbert Smith Freehills Kramer advises National Grid plc on sale of Grain LNG for c.£1.66 billion

Leading global law firm Herbert Smith Freehills Kramer has advised National Grid plc (National Grid) on the sale of its Grain LNG business to a consortium of multinational energy company, Centrica plc and energy transition infrastructure investment firm, Energy Capital Partners LLC, part of Bridgepoint Group plc. The terms of the transaction comprise total proceeds of c.£1.66 billion, including a pre-completion dividend. The final consideration will be subject to certain completion adjustments.

Grain LNG, which comprises two wholly owned subsidiaries of National Grid (National Grid Grain LNG Limited and Thamesport Interchange Limited), owns and operates the UK’s largest LNG importation terminal, playing an important role in securing UK gas supply. 
 
This transaction is another important step in delivering National Grid's previously communicated strategy to streamline its business and focus on networks, as announced in May 2024.

Completion of the transaction will be subject to customary government and regulatory approvals. Subject to these clearances, National Grid expects that the transaction will complete later this year.

The Herbert Smith Freehills Kramer team was led by partners Charles Steward, Caroline Rae, Reza Dadbakhsh, Silke Goldberg, David Coulling, Veronica Roberts, Howard Murray and Tim Leaver from the firm's Corporate, TMT, Competition/Antitrust, Regulation and Trade, Tax and Employment practices. They were supported by Corporate lead associates Zoe Asher, Lucinda Grant and Adam Goddard, and various specialists across the firm.

Partner Caroline Rae commented: "We are pleased to have advised long-standing client National Grid, which is at the heart of transforming the UK's energy system, on the sale of its Grain LNG business. This transaction exemplifies our ability to draw upon our cross-practice capabilities and our experience advising on market-defining energy deals." 

A long-standing client, the firm advised National Grid in 2024 on its £630 million divestment of National Grid Electricity System Operator to the UK government and in 2021 on its £7.8 billion acquisition of Western Power Distribution.