Repsol sells stake in an Indonesian gas operation for $425 million
June 26 (Reuters) - Spanish energy company Repsol (REP.MC), opens new tab said on Thursday it has agreed to sell a 24% stake in Indonesia's Corridor Block gas operation to Jakarta-listed Medco Energi (MEDC.JK), opens new tab for $425 million.
The deal is part of Repsol's strategy to dispose assets to raise cash to fund investments in renewable energy.
According to its own calculations, the sale will have a positive impact of about $70 million on its full-year income and it will help reduce its net debt by about $350 million, Repsol said.
The company expects the transaction to be closed in the third quarter of 2025.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Sun
an hour ago
- The Sun
Energy giant with 5million customers in merger talks to create UK's 3rd BIGGEST gas & electricity supplier
TWO major energy suppliers are in talks about a merger. If it goes ahead it would create the UK's third-largest gas and electricity retailer. 3 Scottish Power, owned by Spain's Iberdrola, and Ovo Energy are in talks to create a merger. It would create a company serving more than six million households, Sky News reports. Talks are still in the early stages, and any formal agreement will take months if it goes ahead. With Ovo being the larger company, serving four million customers, they are likely to be the acquiring entity. Iberdrola would potentially contribute cash and remain as a shareholder. If they do merge, it would create the third-largest supplier, behind Centrica-owned British Gas and Octopus Energy. Scottish Power currently serves around 2.4 million households. Alongside the potential merger, Ovo is aiming to raise £300 million from the sale of shares in the company. Last year the company hired Rothschild to explore options around new investors or a sale. Rothschild has reportedly contacted financial investors in recent weeks. Stop Making This Air Conditioning Mistake: How to Slash Your Summer Energy Bill Ovo became one of the UK's leading suppliers in 2020 after it bought the retail supply arm of SSE. Since Justin King became Ovo's chair, the company has prioritised repairing its regulatory relationships. Iberdrola bought Scottish Power in 2007 for over £11 billion. 3
Sky News
2 hours ago
- Sky News
Spanish-owned Scottish Power sparks merger talks with Ovo Energy
Why you can trust Sky News Scottish Power, the Spanish-owned energy supplier, and larger rival Ovo Energy have begun holding exploratory talks about a merger that would create a company serving more than 6 million British households. Sky News has learnt that executives from Iberdrola, which owns Scottish Power, and Ovo have been engaged in preliminary discussions in recent weeks about the possibility of a deal. The talks are at an early stage and any formal transaction would be months away, if it materialised at all. If the two companies do agree a merger of their residential gas and electricity operations, it would create the third-largest supplier behind Centrica-owned British Gas and Octopus Energy. As the larger company, with 4 million customers, Ovo would probably be the acquiring entity, but with Iberdrola potentially contributing cash and remaining as a shareholder in the enlarged group, according to one banking source. Scottish Power serves about 2.4 million households. The discussions between the two companies are running in parallel to a separate process through which Ovo is exploring the potential to raise roughly £300m from the sale of new shares in the company, according to industry sources. In recent weeks, a number of financial investors have been contacted by Rothschild, the investment bank advising Ovo, about the opportunity. Exactly a year ago, Sky News revealed that Ovo had hired Rothschild to explore options including bringing in a new investor or a sale, 15 years after it launched in a bid to challenge the industry's oligopoly. Founded by Stephen Fitzpatrick, the entrepreneur who now owns London's Kensington Roof Gardens, Ovo's shareholders include the private equity firm Mayfair Equity Partners, Morgan Stanley Investment Management and Mitsubishi Corporation, the Japanese conglomerate. Under Mr Fitzpatrick, who launched Ovo in 2009, the company positioned itself as a challenger brand offering superior service to the industry's established players. Ovo's transformational moment came in 2020, when it bought the retail supply arm of SSE, transforming it overnight into one of Britain's leading energy companies. Its growth has not been without difficulties, however, particularly in relation to its challenged relationship with Ofgem and a torrent of customer complaints about overcharging. Justin King, the former J Sainsbury chief who now chairs Ovo, has made repairing its regulatory relationships a priority for the company. He also oversaw the recruitment of David Buttress, who was briefly Boris Johnson's cost-of-living tsar after leaving the top job at Just Eat, as its chief executive. Key to Ovo's longer-term valuation will be the performance of its technology platform, Kaluza, which was set up to license software to other energy suppliers and provides customers with smart electric vehicle charging and heat pumps. Ovo announced last year that AGL Energy, one of Australia's biggest energy suppliers, had bought a 20% stake in Kaluza at a $500m (£395m) valuation. The British energy company has also entered the electric vehicle car charging sector under the brand Charge Anywhere, adding tens of thousands of public charging points across the UK. Iberdrola bought Scottish Power in 2007 in a deal valuing the company at more than £11bn. Next week, the UK's energy price cap will fall by 7% to £1,720 a year, following an announcement by Ofgem, the industry regulator. Ovo and Scottish Power both declined to comment. Please refresh the page for the latest version.
BBC News
5 hours ago
- BBC News
Cormack Park upgrades part of £8m Aberdeen investment
Aberdeen say they have secured investment of £8m, mainly to be used to improve the club's training ground, Cormack installation of a new full-sized indoor arena will be part of the project."The vision is for a new covered 4G facility to be situated on the current undeveloped Neale Cooper Pitch 6, to allow for all-year-round use for our men and women's teams, both academies, AFCCT programmes and other local junior and amateur teams," the club said."We will also be making some additional improvements to Pittodrie Stadium over the next two years, in line with our previously announced medium-term plan of remaining at our current home."And chairman Dave Cormack added: "Together with our investors, I remain committed to driving Aberdeen FC forward and continuing to make our supporters and the region proud of its football club."
