(CercleFinance.com) – EIG, an American investor specializing in the energy and infrastructure sectors, announced on Wednesday that it would take a 25% stake in the upstream activity of Repsol.
This investment, estimated at some 4.8 billion dollars (approximately 4.85 billion euros), debt included, should enable the Spanish energy group to accelerate its growth in renewable energies, sustainable fuels and the circular management of resources. .
This equity investment values around 19 billion dollars the Repsol Upstream branch, which brings together Repsol’s businesses in oil and gas exploration and production (E&P).
The division will nevertheless remain majority controlled by Repsol, which will hold 75% and will continue to consolidate the accounts of the subsidiary in its financial statements.
“The results of the upstream arm represent more than 60% of our 2022 profit forecast for the group, while the valuation of $19 billion corresponds to more than 85% of our estimate of its enterprise value, which shows how much the market has undervalued these assets’, RBC analysts react this morning.
Listed on the Madrid Stock Exchange, the Repsol share fell despite everything by 1.9% on Wednesday morning.
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