Iberdrola has agreed to acquire Finland-based power distribution company Caruna in a deal that values the business at approximately €5bn, including financial debt.
As part of the agreement, Iberdrola will purchase 80% of Caruna’s equity for €2bn, while Nordic pension funds AMF and Elo will continue to hold the remaining 20% stake
Caruna operates as Finland’s largest electricity distribution network, covering around 89,000km, with roughly two-thirds of the infrastructure laid underground. The company supplies electricity to 1.5 million people, more than a fifth of Finland’s population. The acquisition is expected to close in the first quarter of 2027, subject to customary regulatory approvals.
Caruna manages its network under two distribution concessions, supplying electricity to the central Helsinki area and the Joensuu region, where there is significant industrial activity and increasing demand driven by new data centres and residential projects. The company also serves customers in various parts of western and north-eastern Finland. The acquisition supports Iberdrola’s strategy of focusing investment on electricity networks in stable markets with established regulatory regimes.