EDF, Credit Agricole explore exit from gas transmission operator Terega, sources say
By Andres Gonzalez and Mathieu Rosemain
LONDON/PARIS, July 15 (Reuters) -French state-owned utility EDF and French bank Credit Agricole CAGR.PA are exploring selling their stakes in Terega, France's second-biggest gas transmission operator, two sources close to the matter said.
EDF's investment unit EDF Invest and Credit Agricole's insurance business Predica respectively hold 18% and 10% in Terega, a company which is worth around 3 billion euros ($3.27 billion), the sources said, declining to be named because the talks are private. A transaction may not happen, one of the sources cautioned.
Terega operates a two-way grid between France and Spain and a regional grid in south-west France on top of two storage sites.
It generated 494 million euros of sales from services in 2023, up 0.4% from 2022, and net profit of 97 million euros, up from 95 million euros.
Operating income amounted to 201 million euros last year, up from 192 million in 2022.
EDF, Credit Agricole and Terega declined to comment.
Terega's two other shareholders are Singapore's sovereign wealth fund GIC (31.5%) and Italian energy infrastructure company Snam SRG.MI (40.5%).
The process for the sale of EDF's and Credit Agricole's stakes started recently and could attract interest from infrastructure investment funds, one of the two sources said.
The stake sales will eventually have to be screened and approved by France's finance ministry, the same source said, as Terega operates key energy infrastructure.
($1 = 0.9165 euros)
Reporting by Andres Gonzales in London and Mathieu Rosemain in Paris. Additional reporting by Benjamin Mallet. Editing by Anousha Sakoui, Kirsten Donovan
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