Naturgy completes its €2.332 billion takeover bid
The company already has the commitment of 10% of the shareholders
BarcelonaNaturgy completes its €2.332 billion takeover bid. The energy company received acceptance of the offer from shareholders holding shares representing nearly 10% of the company's capital on Thursday, according to a statement issued Friday to the National Securities Market Commission (CNMV, the Spanish stock market regulator).
The transaction is expected to increase the company's liquidity and consists of purchasing 10% of the shares from itself. This will allow it to raise its free float (float capital, i.e. the number of company shares that are bought and sold on the stock exchange) by approximately 15%.
The transaction is motivated by the fact that 80% of Naturgy's capital is controlled by four shareholders - CriteriaCaixa, the investment holding company of La Caixa, and the CVC, GIP-BlackRock and IFM funds -, which significantly reduces the number of shares available on the market compared to other listed companies. The CNMV asked the company to correct this and increase the free float.
The group chaired by Francisco Reynés will offer 26.5 euros per share, which means the total cost will be 2.332 billion. This price will not change even if Naturgy distributes dividends (the management team has proposed a payment of 0.6 euros per share, which must be approved by the shareholders this month). The offer is open to all shareholders and aims to purchase 88 million of its own shares, representing 9.08% of the capital.
Finally, the transaction will go to the shareholders' meeting on March 25, when the board of directors will also be expanded from 12 to 16 members, meaning each of the four main shareholders will gain a new seat.