Sempra Energy to sell 10% stake in infrastructure unit for $1.8bn – ArabianBusiness.com
Sempra agreed to sell a 10 percent non-controlling stake in its gas exports and Mexican pipeline unit to a subsidiary of Abu Dhabi Investment Authority for about $1.8 billion in cash.
The deal implies an enterprise value of $26.5bn for Sempra Infrastructure Partners, which was created earlier this year through the consolidation of Sempra’s liquefied natural gas business and its Mexican IEnova unit, according to a statement Tuesday. In October, Sempra completed the sale of a 20 percent non-controlling interest in the infrastructure unit to an affiliate of KKR & Co.
Sempra said the proceeds from the sale will go toward helping fund capital investments at its utilities and repurchase $500 million of the company’s stock. Sempra Chief Executive Jeff Martin has told investors he wanted to use proceeds from the energy company’s infrastructure partnership to strengthen the company’s balance sheet and fund growth projects at its regulated utilities in California and Texas.
