TAQA, an Emirati energy company based in Abu Dhabi, has taken a step forward in its intentions to acquire the Spanish gas company Naturgy. In a relevant fact sent to the supervisor, TAQA refers to recent speculation in the press regarding Naturgy, confirming that it is holding conversations with CriteriaCaixa and funds CVC and GIP in relation to a possible acquisition of their shares in Naturgy. If such an acquisition were to occur, a public takeover offer would need to be made for the entire capital as both funds hold more than 20% of the shares respectively and the 30% limit set by law to launch a takeover bid.
However, TAQA clarifies that no agreements have been reached with CriteriaCaixa or GIP, and there is no guarantee that any operation will be implemented or certainty about the terms. The company acknowledges that there has been no direct approach to Naturgy by their company. The National Securities Market Commission (CNMV) suspended trading of Naturgy shares following information about a possible takeover bid by TAQA and negotiations with the main shareholder funds.
The potential acquisition would involve administrative authorizations and regulatory reports. It is understood that confidentiality is crucial in such corporate operations; however, some details have emerged through market sources suggesting that Criteria has confirmed their involvement in the operation while other shareholders remain silent. It remains uncertain whether IFM and Sonatrach funds will participate in the takeover bid. The liquidity issue of the company coupled with challenges in the gas market has impacted stock prices of energy companies. Potential conditions may be imposed by the Government in response to the takeover bid which may affect future prospects for Naturgy.
TAQA operates in 11 countries including Canada, United States, United Kingdom, Morocco, India among others. The company was established in 2005 and has been listed on stock exchanges for 19 years. Negotiations between TAQA and Natural Gas shareholders have been ongoing since then. Confidentiality is crucial when conducting such transactions but not entirely secret as some details have emerged through market sources.
In summary, TAQA’s interest in acquiring Natural Gas has sparked controversy as it could lead to changes in ownership structure of one of Spain’s largest energy companies if successful.
