EDF Delays Edison Stake Sale to 2027 Amid Hormuz Crisis
EDF Delays Edison Stake Sale to 2027 Amid Hormuz Crisis
French utility EDF has postponed its plan to sell a stake in Italian subsidiary Edison to next year due to ongoing LNG supply disruptions from the Iran conflict, according to two sources.
Why the Sale Was Delayed
EDF had been working with advisers to review options for Edison, including a minority stake sale or IPO, to raise cash for nuclear investments. However, regulatory changes in Italy and Middle East energy disruptions hurt Edison, Italy's second-largest gas importer.
New Timeline
Sources say EDF advisers are revising Edison's business plan to account for LNG disruptions. Discussions with potential investors could resume from September, but a deal will only materialize if the Middle East crisis does not significantly impact Edison's valuation.
Edison's LNG Supply Issues
Edison has a long-term contract with QatarEnergy for 6.4 billion cubic meters of gas annually. The company said its Gulf supplier canceled five additional LNG cargoes, extending force majeure to mid-August.
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