Government paid 138.8 million for purchase of 5.3% of REN to Fidelity

O Government concluded the acquisition of participation in REN, and, in a statement issued this Thursday, reinforced that this was “an operation in defense of the public interest and a strategic asset for the country”.

In a statement sent to News to Minutes, the Executive begins by advancing that ” Parública gave continuity to the process established by the Government, of acquisition of up to
20% of REN’s capital”.

“ To this end, he reached an agreement with the Fidelity Group for the acquisition of all his participation in the capital of REN, corresponding to 5.3%, which increases the participation of the State to 19%, giving the State more governance rights, essential to ensure the strategic interest of the country”, reads in the note.

According to the statement issued by the Ministry under the supervision of Joaquim Miranda Sarmento, the issue of the prior visa of the Court of Auditors took place on Wednesday, October 29, and the acquisition was completed for eur 138,791 million.

“To finance the operation, the State transferred EUR 136,036 million to Parpublic, plus the unused amount transferred in the first phase. The value of the purchase represents an implicit premium of about 8.34% of the average volume-weighted price in the last 6 months”, details the ministry, stating that the “difference between the premiums paid from the 1st and 2nd stages reflects the different strategic value of each position”.

Already “the 1st phase prize has repaid the granted governance rights, the lack of liquidity and the certainty of execution of the operation”.

The prize of 8.34% in Stage 2 is, however, lower, “which is justified by the fact that the State already has designation powers on the Board of Directors and is a strengthening of an existing position rather than a first entry into capital, which implies less risk of execution and integration”.

[News update]