State-backed China Gas has joined forces with Club Med owner Fosun to bid for a controlling stake in National Grid's $14.32 billion gas business, which supplies about 11 million homes and businesses in Britain.

The Chinese consortium gatecrashed the auction of the gas pipelines less than a week after Prime Minister Theresa May announced that Britain is tightening its restrictions on foreign investment in key national infrastructure.

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According to the Telegraph, National Grid, which was put in the market by FTSE 100 giant in 2015, is thought to be valued at $14.32 billion. More than half (51 percent) of its stake has been put up for sale.

Fosun and China Gas will be competing with two other large bidders; Canada Pension Plan Investment Board and Australian bank Macquarie, which is believed to be backed by China Investment Corporation.

The first round of bidding is due to be concluded at the end of the month.

Meanwhile, a spokesperson from National Grid said: "We will not speculate on the identity of potential bidders. Regardless of their identity, all bidders will have to go through the same rigorous approval process."

National Grid has four gas distribution pipelines supplying gas across the Midlands, the North West, Eastern England, and North London. According to the Daily Mail, it is offloading its pipelines to focus more on profitable areas of its business.

Meanwhile, Tim Farron, Liberal Democrat leader, criticized the move saying "This government is getting it completely wrong when it comes to energy security."

"Instead of working with our allies... we are offering up our aging systems based on fossil fuels to the highest bidder, without considering whether it is in our long-term national interest."

TagsChina Gas, Fosun, National Grid, gas business, gas