Eni agrees to sell 49% of power unit Enipower to Sixth Street By Reuters


© Reuters. FILE PHOTO: The logo of Italian energy company Eni is seen at a gas station in Rome, Italy August 16, 2018. REUTERS / Max Rossi

MILAN (Reuters) -Italian energy group Eni has agreed to sell a 49% stake in power generation unit Enipower to US investment firm Sixth Street to help fund its shift to cleaner businesses.

In a statement on Monday Eni said it would keep operational control of the unit and would continue to consolidate it in its accounts.

Eni gave no financial details but a source familiar with the matter said the deal valued the stake at around 550 million euros ($ 601.70 million).

Sources told Reuters in January the deal could value the business at up to 1.2 billion euros.

“The deal is part of Eni’s strategy to enhance our assets and free up new resources for the energy transition,” Eni Chief Financial Officer Francesco Gattei said.

Sixth Street, which has more than $ 60 billion of assets under management, operates in infrastructure and energy transmission and has invested in more than 6 gigawatts of renewable power.

Enipower, Italy’s second-largest power producer, runs six gas plants with a total installed capacity of around five gigawatts.

Eni was advised by JP Morgan and Sixth Street was advised by Rothschild.

($ 1 = 0.9141 euros)

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy / sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Source link