Eni: KKR To Buy 25% Stake In Mobility Transformation Unit Enilive In EUR 2.938 Bln Deal

(RTTNews) - Italian energy major Eni S.p.A. (E) announced Thursday an agreement, under which investment firm KKR & Co. Inc. (KKR) agreed to take a 25 percent stake in Enilive, Eni's mobility transformation company, for a total consideration of 2.938 billion euros.

Closing of the transaction is subject to customary approvals.

The company said the transaction will be funded through the subscription of a capital increase in Enilive reserved to KKR amounting to 500 million euros, as well as the purchase of Enilive's shares from Eni for a value of 2.438 billion euros. This corresponds to a post-money valuation of 11.75 billion euros of Equity Value for 100 percent of Enilive's share capital. As per the deal, Eni will undertake a capital increase of 500 million euros prior to the completion of the transaction to set a debt-free company. According to Eni, the investment enhances its capital structure, reduces its net financial position while ensuring that Eni retains consolidation and control of Enilive.

Eni CEO Claudio Descalzi said, "This agreement marks a significant further step in our business strategy related to the energy transition. Enilive, alongside Plenitude, is central to our commitment to providing decarbonized energy solutions and progressively reducing emissions from the end use of our products. ... With KKR's support, Enilive is poised to capitalize on its ambitious growth plans and continue delivering real, scalable energy transition solutions." In Milan, Eni shares were trading at 14.33 euros, up 1.07 percent.