US investment firm KKR has entered an agreement to acquire an additional 5% stake in Italian energy major Eni’s biofuel business, Enilive.
The stake will be acquired for €587.5m.
The additional acquisition will take KKR’s total interest in Enilive to 30%.
Eni stated that this deal optimises its capital structure while ensuring it retains control and continues consolidating Enilive.
This latest agreement follows a deal signed in October 2024, in which KKR agreed to acquire a 25% stake in Enilive for €2.93bn.
The October deal is expected to close next month.
The 5% stake acquisition is based on the same total valuation of Enilive as the October deal, equal to €11.75bn.
This deal is part of Eni’s satellite strategy, which aims to attract investment in distinct business segments to foster their independent growth and establish their market value.
Eni chief transition & financial officer Francesco Gattei said: “KKR’s additional investment confirms the attractiveness of Enilive to the market. Enilive is a solid and growing company, with an important financial partner, and it will play a crucial role in reducing emissions generated by the end use of our products, which is a key aspect of our path to net zero by 2050.
“In line with our strategy, we will continue enhancing our best energy transition businesses, enabling them to create value on their own, increase their market value, open up new opportunities in the capital market, make them attractive to important future industrial and financial partners and grow their business rapidly in support of our decarbonisation path.”
The closing of the transaction for the additional 5% stake in Enilive is pending customary regulatory approvals.
Mediobanca served as Eni’s financial adviser for the latest deal.
