February 19 (SeeNews) - A consortium including Romanian gas transmission company Transgaz [BSE:TGN] said on Monday it has submitted an offer to acquire 66% of the share capital of Greek gas transmission system operator DESFA.
"Reganosa, Transgaz and EBRD acknowledge that we have submitted as part of the Reganosa consortium and were pleased to be able to support a competitive process for DESFA’s privatisation. EBRD has contributed to a competitive process which, irrespective of who wins, will result in more value for the Greek people," Transgaz said in a statement filled with the Bucharest Stock Exchange, BVB.
In a separate statement provided by Transgaz, the Hellenic Republic Asset Development Fund (HRADF) said that it received on Monday two binding offers for the acquisition of 66% of DESFA's share capital (31% stake owned by HRADF and 35% stake owned by Hellenic Petroleum (HELPE).
The binding offers were submitted by a consortium composed of Snam S.p.A., Enagas Internacional S.L.U. and Fluxys S.A and by a consortium composed of Regasificadora del Noroeste S.A., Reganosa Asset Investments S.L.U., S.N.T.G.N. Transgaz S.A. and the EBRD.
The evaluation process will begin immediately and will be in line with the terms specified in the tender's process letter, HRADF said.
In January, the shareholders of Transgaz endorsed a proposal to join forces with Spain's Regasificadora del Noroeste in order to take part in the sale.
This is Transgaz's second attempt to acquire the majority stake in DESFA in association with a partner. In August, Transgaz said that together with GRTgaz from France it had submitted a letter of intent for the acquisition, but their participation was rejected by consultants, as it was in conflict with the European regulations on the matter.
The sale of the majority stake in DESFA, handled by HRADF, is part of the measures agreed by the Greek government with the European Commission and international lenders as part of a wider programme for the recovery of the Greek economy, Transgaz said in August. It is also confirmed as a key element of the reform package within the second revision of the Compliance Report prepared by the European Commission.
Rumors about Transgaz's interest in DESFA surfaced in December 2016, when Greek newspaper Kathimerini reported, citing unnamed sources, that the Romanian company was interested in taking over a 66% share package in DESFA after negotiations of the Greek government with Azerbaijan's SOCAR oil group failed.
In 2013, SOCAR won a tender for the acquisition of 66% of DESFA for 400 million euro ($469 million), but following the parliamentary elections in Greece in January 2015 the offered stake was cut to 49%. The deal was expected to be concluded by August 2015.
DESFA's majority shareholder is the government of Greece with a stake of 65% and Hellenic Petroleum with 35%. SOCAR was to buy 31% of DESFA from the Greek government and 35% from Hellenic Petroleum.
In December 2016, the Greek government said that SOCAR's bid did not comply with its requirements and it had decided to terminate the negotiations.
At the end of September 2016, Transgaz and DESFA signed a memorandum of understanding, committing to address existing and future joint projects for gas transmission in full compliance with the EU law.
Regasificadora del Noroeste is a private company engaged in the transmission and regasification of natural gas in the northeastern part of Spain. It is 51% owned by Grupo Tojeiro. Besides Spain, the company is also present in France, Malta, Mozambique, Kuwait and Colombia.
Transgaz's shares traded 0.37% lower at 400 lei on the BVB as at 1627 CET on Monday.
($=0.8052 euro)
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