The move is a part of Vattenfall’s strategy to sell non-core assets and to decrease CO2 exposure.
Danish district heating company Fjernvarme Fyn will acquire Fyn Combined Heat and Power (CHP) plant including a waste incineration facility.

The sales price includes DDK600m ($98.6m) in cash consideration as well as takeover of decommissioning obligations and environmental liabilities.

Scheduled to be completed by 1 January 2015, the transaction is subject to approval of the city council of Odense and the city council of Nordfyns Kommune as well as of the Danish Energy Agency and the Danish Competition and Consumer Authority.

Vattenfall chief financial officer and deputy chief executive officer Ingrid Bonde said: "Vattenfall is the largest owner and producer of onshore wind power in Denmark and we continuously work on our strategic goal to transform the production portfolio away from CO2-emitting production into renewable production.

"The divestment of Fyn power station is another important step to continue to shift from fossil fuels into green energies."

Upon completion of the transaction, Vattenfall will operate Nordjylland Power Station, the conventional power plant asset in Denmark.