Is Battersea Power Station up for sale?

Just years after first opening its renovated doors, the owners of Battersea Power Station are believed to be mulling a sale of the London-based shopping and leisure centre.

According to a report by multiple media outlets, including The Times, Malaysian investment firm Permodalan Nasional Berhad (PNB) and the country’s main pension fund, Employees’ Provident Fund (EPF), are potentially looking to offload the site from their respective portfolios. The two firms have now confirmed there are "no immediate plans to proceed with any exit".

Reports had initially suggested that advisors from BNP Paribas were appointed to explore a “handful” of proposals from interested buyers, with a two billion pound price tag said to be on the table.

Battersea Power Station had functioned as a working power station up until its closure in the 1980s. It wasn’t until 2012 that a consortium of Malaysian investors rescued the site for a sum of 400 million pounds, with the intention of a full renovation.

The Grade II listed building eventually reopened in 2022 as a retail and leisure centre, housing 150 shops, bars and restaurants in and around the structure. The building is also home to Apple’s UK headquarters.

Update, October 31 13:25 CET. EPF and PNB have provided FashionUnited with a joint statement responding to the reports, in which the two firms note that Battersea Power Station "remains a key strategic investment for the shareholders" of the consortium led by Sime Darby Property Berhad and S P Setia Berhad. As such, both EPF and PNB "remain fully committed to realising the full potential of the investment and confident in its prospects and potential upside value. As such, there are no immediate plans to proceed with any exit".

The statement continues: "Given the iconic nature of the Battersea asset, we receive from time-to-time proposals from parties interested in investing in the project. As investors, PNB and EPF would evaluate any such proposals carefully in line with our investment criteria and considerations, which is always based on creating value for the benefit of our PNB unitholders and EPF members.

"As such, typically when investments reach maturity and achieve targeted returns, we would consider the opportunities for monetisation or the introduction of strategic partners to support future capital requirements and growth."