By CNBC-TV18 IST (Published)
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French energy giant Total SA is likely to acquire a 30 percent stake in Adani Gas, a city gas distribution firm, for more than $800 million or Rs 5,500 crore, The Times of India reported.
French energy giant Total SA is likely to acquire a 30 percent stake in Adani Gas, a city gas distribution firm, for more than $800 million or Rs 5,500 crore, The Times of India reported.
The deal, which will be announced soon, will help the Adani Group to cut its debt and bring in strategic expertise into an expanding business, the report said citing people directly aware of the matter.
As per the report, the deal is likely to trigger an open offer to public shareholders post which Gautam Adani and Total are likely to have an equal shareholding. The offer will be based on how much Total mops up through the open offer, which could potentially take the deal size to more than $1 billion.
Currently, Adani owns almost 75 percent stake in the gas company. The firm operates a distribution pipeline network of over 6,000 km and caters to nearly 3.5 lakh retail customers.
The deal, the report said, is likely to be done at a premium to the current share price of Rs 169 apiece.
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