Banco Sabadell: According to press reports, Repsol has sold Prejeance Industrial (a French company dedicated to self-consumption) 42 MW in COD and 400 MW under development to Altarea for €140 million. On the other hand, the press also reports that the company has commissioned legal advice on the sale of part of its renewables subsidiary, which is being targeted by the Saudi oil company Aramco, to the law firm Freshfields Bruckhaus Deringer.
Assessment: The sale of renewable assets in France, although positive, would have limited impact due to its size (<1% capitalisation/c. 4% DFN). We recall that these assets are part of the assets acquired from Asterion in 2022 (c. 7,700 MW wind and photovoltaic portfolio in Spain, France and Italy) and it makes sense to divest them to focus on the core countries of its Strategic Plan (Spain, USA, Chile and Italy).
As for the sale of renewables, it would have little impact as long as there is no confirmation. Aramco’s interest in entering the renewables subsidiary is already known. We recall that Repsol sold 25% of the subsidiary in 2022 for €905 million to the consortium Crédit Agricole Assurances and EIP (Energy Infrastructure Partners), which would imply a valuation for 100% of €4,383 million versus €6,000 million euros currently being considered (versus €6,700 million BS), taking into account the increase in capacity that has taken place since then.
