Mergers & Acquisitions ·
Kenon Holdings agrees to acquire 25% stake in Vicinity District Energy for $450 million
KENKenon Holdings Ltd.
Kenon Holdings Ltd. announced an agreement to acquire a 25% equity interest in Vicinity District Energy for approximately $450 million. The transaction involves Kenon and Harrison Street Asset Management acquiring a majority stake from Antin Infrastructure Partners, with total enterprise value of $2.92 billion. A consortium has committed up to $1.4 billion in non-recourse debt financing. Vicinity operates district heating and cooling infrastructure across 12 U.S. cities, serving over 700 customers with 2025 revenues of approximately $611 million and expected annualized run rate Adjusted EBITDA exceeding $140 million. Closing is expected in Q2 2027 subject to regulatory approvals. Kenon operates in the energy sector, primarily engaged in electricity generation.