MADRID | April 8, 2015 | By Sean Duffy | The takeover of BG by Royal Dutch Shell for £47 billion (€64.8 billion) could be the opening salvo in a race to hoover up energy firms, as oil giants look to take advantage of a liquidity glut by honing in on companies destabilised by the volatility on oil markets.
MADRID | By Ana Lopez Varela | Cutbacks and balance sheet losses at the British oil giant are indicative of a more widespread malaise afflicting the oil industry. While there has been a correction in profit forecasts, firms are likely to adjust their business model accordingly.
MADRID | By Ana López-Varela | Some analysts believe the Spanish oil company has been extremely punished by the markets. Repsol’s announcement of its pulling out of Canary Islands exploration on Friday, along with the fall in oil prices and the purchase of Talisman Energy (for more than for $8.3 billion), has put the firm under the spotlight.
MADRID | By Carlos Díaz Güell | Spanish Repsol’s chairman Antonio Brufau noded the company’s key stakeholders -Caixabank, Pemex, Sacyr and Temasek- by recently approving an extraordinary dividend of €1 per share with a charge to present year results. The Argentinian bonds selling monetization and the sale of YPF provided the company with a juicy cashflow near €10 bn against €27.5 bn of its market capitalization.
MADRID | By Jaime Santisteban | European markets are happily back from Easter as Wall Street enjoys its highest gains in 6 months. Spanish Ibex 35 keeps last week’s positive mood. Risk premium drops to 155 basis points. Spanish Treasury will sell up to 3 billion euros in 3-month and 9-month bills today.
MADRID | By Julia Pastor | Spanish oil company Repsol could sell two block of shares reaching 10% to sovereign funds. The presence of this kind of investors in Spain is not new, much less in strategy sectors such as energy, but the point is that corporate managing teams have allowed those to enter their capital and look under the rug. Furthermore, sovereign funds’ investments criteria such as will of permanence, long term view and sustainability are always good news for a firm. Singapore’s Temasek fund already holds 5% of Repsol, while Qatar’s has also participation in other national energy companies. Therefore, both would have more options to be those packages’ next owners.
MADRID | By Jaime Santisteban | Repsol could sell its 30% participation in Gas Natural before the summer. 20 % of it would go for sovereign wealth funds (yet unidentified) and 10 % through quick placement of shares. RENTA 4 believes the company will monetize the operation if other worthy investment opportunities are identified. SABADELL finds the move logical within negotiations with La Caixa (which controlls 1/3 of Repsol’s capital). ACF highlights that Gas Natural shares are turning out very profitable in dividend for Repsol (4.5%), making this sale not that attractive for that firm.
MADRID | By Luis Arroyo | During the so-called Transition period in Spain, a new entrepreneurial force should have arisen, but there was a destruction of the nationalized companies. Thus, the country doesn’t have strong big firms. Something is wrong with the Spanish fiscal system.
MADRID | By Julia Pastor | Sovereign funds’ bet on Spanish companies continued to be strong during 2012-13. Spain and its brands were these global investors’ favourite picks in the euro zone, overcoming English, German or French firms. The trend is to be renowed in 2014 because of their strong presence in the emerging markets of Latin America.
MADRID | By Fernando G. Urbaneja and Julia Pastor | Repsol is a “rara avis”, a private and listed firm, with public shareholders and indirectly supported by the Spanish government.