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The national oil and gas giant OMV is a subsidiary of Gas Connect Austria (GCA). The sale of the majority of the 51 percent to the national power company Verbund, started in June, was completed on Wednesday. Verbund pays 271 million euros and assumes 165.9 million euros in liabilities that GCA has with OMV. The closure is scheduled for 2021.
The purchase price results in a GCA pipeline operator’s business value of € 980 million for 100 percent of the company debt free. At OMV, the sale will provide debt relief of more than 570 million euros. In accordance with the terms and conditions, Verbund will pay OMV a total of 436.9 million euros, depending on the level of liability at the time of closing.
The authorities have to agree
The acquisition has no effect on Verbund’s guidance for 2020 as the transaction will not be completed until 2021, after official approvals and approvals have been obtained.
With the sale, OMV continues its strategy of withdrawing from the regulated gas transportation business and seeking active portfolio management to continue growing profitably. The gas trading and storage business continues to be an essential part of OMV’s portfolio.
For the association as owner and operator of critical infrastructure, the acquisition of GCA shares will result in an improvement of the commercial profile and a positive development of key figures, above all, an optimal positioning in relation to the sectoral coupling with optionality for a future hydrogen economy, he said.
