Centrica along with its partner iCON Infrastructure and Brookfield Renewable Energy Partners has signed an agreement to buy Bord Gáis Energy (BGE), for €1.1bn (£920m).
As part of the agreement, Centrica will buy BGE's gas and electricity supply business in Ireland and the Whitegate gas-fired power station. The transaction has a total enterprise value of around €210m (£175m), as of 31 December 2013.
Centrica chief executive Sam Laidlaw said that this is a unique opportunity for Centrica to take a first step in a neighbouring market with strong links to the UK, building on BGE's existing capabilities and delivering value for the group.
"Centrica is committed to providing secure supplies of energy and delivering the best service at competitive prices," Laidlaw said.
Centrica also said that iCON Infrastructure Partners II will buy BGE's firmus energy supply and regulated gas distribution assets in Northern Ireland, while Brookfield Renewable will acquire BGE's renewable generation assets, which includes 321MW of operating wind capacity across 17 wind projects in Ireland.
The deal is expected to end in the second quarter of 2014.
iCON Infrastructure senior partner Paul Malan said, "firmus energy has been instrumental in making natural gas available to the people of Northern Ireland over the past decade.
"We are privileged to have been selected as the owner of firmus energy and look forward to supporting the continued growth of the business and the energy industry in Northern Ireland," Malan added
Brookfield Renewable president and CEO Richard Legault said, "This is truly a milestone investment for Brookfield Renewable. The Bord Gáis portfolio represents an ideal entry point into the European market, bringing with it high quality renewable assets and an experienced team of approximately 70 professionals with operating, development, technical, commercial, and finance expertise."