DCC energy to sell Nexora for $725m ahead of KKR-led buyout

DCC Energy has agreed to sell its technology division, Nexora, to private equity firm One Equity Partners for an enterprise value of $725m, as the Irish energy group prepares for its planned takeover by KKR and Energy Capital Partners, according to a report by Reuters.

The transaction will be completed on a cash-free and debt-free basis, with closing expected on or after 1 March 2027, subject to regulatory approval, DCC said.

The divestment comes after DCC agreed in July to a £5.75bn ($7.61bn) acquisition by a consortium led by US private equity firms KKR and Energy Capital Partners. The sale of Nexora forms part of the arrangements surrounding the proposed buyout.

Under the terms of the takeover agreement, DCC shareholders will receive an additional 42 pence per share on top of the existing offer, linked to the Nexora disposal. However, the additional payment will be cancelled if the regulatory conditions relating to the sale have not been satisfied by 31 July 2027.

The Nexora transaction remains subject to the necessary approvals, with its anticipated completion date falling after the proposed KKR-led acquisition was announced.