British utility SSE to exit Scotia Gas stake

British utility company SSE agreed to sell its entire 33.3 percent stake in Scotia Gas Networks (SGN) for 1.225 billion pounds ($1.70 billion) to a Canadian consortium of Ontario Teachers' Pension Plan Board and Brookfield Super-Core Infrastructure Partners, said Reuters on Monday. 

The news agency reported that the proceeds from the exit will be used to cut net debt in the short term and support investment plans.

"The capital we are releasing through our disposals programme will help enable us to maximise the delivery of our low-carbon electricity orientated strategy," said SSE Finance Director Gregor Alexander.

In 2005, SSE had acquired a 50 percent share in SGN 505 million pounds ($702.30 million), the company then sold 16.7 percent stake to unit of the Abu Dhabi Investment Authority (ADIA) in 2016. The Canadian consortium will also acquire ADIA's stake in SGN for an undisclosed amount, said the news agency.