Snam’s Board of Directors, under Chairperson Lorenzo Bini Smaghi, approved the acquisition of the stake held by CDP GAS, a fully owned subsidiary of Cassa Depositi e Prestiti (CDP) in Trans Austria Gasleitung (TAG), for a total amount of EUR 505M.
The transaction is in line with Snam’s international development strategy and further strengthens the company’s role amongst infrastructure operators in Europe. TAG holds the transmission rights of the Austrian section of the pipeline that connects Russia to Italy. The pipeline connects Baumgarten, on the Austrian border with Slovakia, with Arnoldstein, on the border with Italy (Tarvisio). It consists of three parallel lines extending approximately 380km each, five compressor stations, and auxiliary plants with an overall length of about 1,140km. TAG operations are entirely subject to Austrian regulation.
Photo courtesy of Snam S.p.A.
TAG will also become the owner of the pipeline following the transfer of a going concern by Gas Connect Austria, an Austrian gas transmission company of the OMV Group and shareholder of TAG together with CDP GAS. By virtue of this transfer, the stake to be acquired by Snam will equal 84.47% of the share capital of TAG, with economic rights equal to 89.22%. Gas Connect Austria will hold the remaining 15.53% of the share capital and 10.78% of the economic rights.
