Fortum Divests Biobased Solutions Businesses to Indian Energy Transition Provider

Company Aligns with Strategic Focus on Clean Energy and Decarbonization

Fortum, a leading Nordic energy company, has announced the sale of its biobased solutions businesses and a stake in an Indian bioethanol company to AM Green Technology & Solutions B.V., a prominent Indian energy transition solutions provider. This move aligns with Fortum’s strategic focus on clean energy and decarbonization in the Nordics.

The transaction includes Fortum’s 37.4% ownership in Chempolis Oy, along with its shares in the holding company that owns 40.3% of Assam Bio Ethanol Pvt Ltd in India. While the financial impact on Fortum Group’s results is expected to be minimal, the divestment is part of the company’s ongoing review of its Circular Solutions businesses, which are deemed non-core to its strategy.

Fortum will continue to assess the future of its remaining Circular Solutions businesses, including turbine and generator services, battery recycling, and a UK-based waste-to-energy operation. These businesses collectively have net assets of approximately EUR 80 million and employ around 400 people. However, they have reported a comparable EBITDA of approximately EUR -20 million for the past twelve months.