On June 13, 2019, ENGIE Brasil has announced that the consortium in which the Group holds a majority stake had completed the acquisition of a 90% share in Transportadora Associada de Gás S.A. (TAG), after the approval of the relevant governance bodies of Petrobras and of the Brazilian and European Union anti-trust authorities.
For ENGIE, the financial impacts of this acquisition are the following:
Isabelle Kocher, ENGIE CEO declared:
“With an attractive and stable profit stream, we are proud to present the very interesting additional financial contributions of this acquisition to the Group. TAG is a formidable asset, in which we will bring ENGIE’s knowledge and expertise in the management of complex gas infrastructure, and it will give us the opportunity to develop new uses for gas transportation networks stemming from new technologies such as biomethane and green hydrogen. TAG is a key component of our offer in Brazil, a priority country for ENGIE”.
TAG is the largest natural gas transmission network owner in Brazil with 4,500 kilometers of gas pipelines, which represents 47% of the country’s entire gas infrastructure.
The consortium – made of ENGIE S.A. (32.5% share), ENGIE Brasil Energia (32.5% share) and Caisse de Dépôt et Placement du Québec (35.0% share) – won the bidding process organized by Petrobras in early April 2019.
1 Incl. share in net income of associates
2 CAGR = Compound Annual Growth Rate