Published on 17 Jan 2022 on Zacks via Yahoo Finance
Eni (E) to Divest Stake in Power Unit After Raising Interest
Eni SPA E has attracted Sixth Street Partners as the leading bidder for its power generation unit, Enipower, per a report by Reuters.
Since September 2021, Eni has been trying to divest a stake of up to 49% in EniPower in a transaction valued at up to $1.4 billion. U.S. investment firm Sixth Street Partners is in advanced negotiations with Eni to acquire the minority stake in the business.
Enipower is one of the leading power producers in Italy. It operates five gas-fired plants and one co-generation plant in the country, with a total capacity of more than 5 gigawatts. The divestiture is part of Eni’s efforts to fund its low-carbon transition. The company is undergoing a major restructuring, which aims at separating its traditional oil and gas business from assets related to energy transition.