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Verbund is paying a total of 436.9 million euros for 51 percent of Gas Connect with its 900 kilometers of high pressure lines. OMV needs the money for a multi-million dollar purchase.
The Viennese electricity group Verbund has reached an agreement with the oil and gas group OMV for the purchase of the gas pipeline subsidiary Gas Connect. The purchase price of the 51 percent stake stands at 271 million euros, the two companies announced Wednesday. Additionally, Verbund will assume Gas Connect’s outstanding liabilities when the deal is concluded. At the end of 2019, the debt amounted to 165.9 million euros.
Under the terms of the transaction, Verbund will be 436.9
Pay millions of euros in cash to OMV, depending on the
Statement of liabilities at closing. Of the
The purchase price implies a Gas Connect business value of
a total of 980 million euros. Signing the contract
must take place during the day, the conclusion of the deal
expected for the first half of 2021.
The two companies had been exclusive for months
Negotiations carried out. Verbund finally showed up in mid-June
Binding offer. Gas Connect operates more than 900
Kilometers of high pressure gas pipeline network in Austria. Of
49 percent parted ways with OMV a few years ago. the
OMV had announced that it would sell parts of the company in order to
Billions in the purchase of the petrochemical Borealis
to stop. This transaction leads to OMV debt relief
of more than 570 million euros, which is positive for the
Gear effects.
(What / red.)
