Total Says LNG Unit Not Now for Sale
Total has not put its liquefied petroleum gas unit Totalgaz up for sale, the group said after Paris daily newspaper Les Echos reported that the French oil and petrochemicals major had received around 10 expressions of interest from potential buyers.
The newspaper identified investment funds such as First Reserve, Platinum, Pamplona and PAI Partners as among the bidders, in addition to industry rivals including Antargaz and Primagaz.
"There is no sale process of Totalgaz at the moment," a spokesman said, adding that options for the unit were being reviewed. "If this process happens, it will be done respectfully of (union) representatives and industrial logic."
The company has put a €750 million price tag on the unit, but this is seen as too much by some potential bidders, Les Echos said.
Total, like industry peers, is in a drive to boost shareholder returns and keep a lid on costs as investors prepare for a downturn in the oil-price cycle. The company has already sold assets including its stake in GTT and sources have said it plans to sell its stake in the Shah Deniz II gas field.
News Agency Fuels Rumors of Bayer Plastics Sale
The start of the last week of April appeared to be a good one for speculation. News also circulated in the marketplace that Bayer was looking to ditch its plastics unit, Bayer MaterialScience due to returns below those of its life sciences business and that compatriot chemical producer Evonik had shown interest.
In a conference call with analysts, Bayer CEO Marijn Dekkers said he had no comment on the possible plastics spin-off. He also declined comment on report the German group was a frontrunner in the race to acquire Merck & Co's consumer business.
