Large-scale, high-graded upstream portfolio intends to provide reliable energy to support growing demand; delivers upfront capital to Repsol to accelerate its energy transition strategy.
Washington, D.C., September 7, 2022
EIG, a leading institutional investor in the global energy and infrastructure sectors, today announced that it has entered into a definitive agreement with Repsol S.A. to acquire a 25% stake in Repsol Upstream, a newly formed global exploration and production company comprising Repsol’s entire global upstream oil and gas business.
Under the terms of the agreement, a newly formed, wholly owned subsidiary of EIG, Breakwater Energy, will acquire the 25% interest in Repsol Upstream for total consideration of approximately $4.8 billion, including debt, indicating a total enterprise value of approximately $19.0 billion for Repsol Upstream. Repsol will retain the remaining 75% interest and continue to maintain majority control of the company.
The strategic partnership provides Repsol with upfront capital to increase its investment in the energy transition, specifically to support the growth of Repsol’s renewable power generation, renewable fuels, and circular products segments. Both Repsol and EIG foresee the potential to list the business in the U.S. from 2026 onward, subject to favourable market conditions.
About EIG
EIG is a leading institutional investor in the global energy and infrastructure sectors with $24.0 billion under management as of June 30, 2022. EIG specialises in private investments in energy and energy-related infrastructure on a global basis. During its 40-year history, EIG has committed over $41.5 billion to the energy sector through over 387 projects or companies in 38 countries on six continents. EIG is headquartered in Washington, D.C., with offices in Houston, London, Sydney, Rio de Janeiro, Hong Kong and Seoul. For additional information, please visit www.eigpartners.com.
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