The Spanish oil and gas group Repsol has agreed sell its 20% interest in the Spanish gas group Gas Natural Fenosa for approximately €19 per share (i.e. around €3.82bn) to Rioja Bidco Shareholdings, controlled by the private equity firm CVC Capital Partners. This sale will help Repsol restart investment after years of cost cutting and debt reduction measures; Repsol reduced its debt level from €12bn in late 2015 to €8.1bn in late 2016 and to less than €7bn at the end of 2017.
The transaction is still subject to regulatory approvals and a shareholder's agreement between CVC and as Natural's other shareholders, which are Global Infrastructure Partners (GIP) and Criteria Caixa. If the deal is completed, CVC will appoint three members to Gas Natural's board and replace Repsol's ones. Gas Natural's largest shareholders would be: Criteria Caixa (24%), CVC (20%) and GIP (20%).