MOSCOW (MRC) -- Energy group Eni could list more than 30% of its new retail and renewables business in what is likely to be one of Italy's biggest initial public offerings next year, reported Reuters with reference to sources' statement.
The company said last month it had opted to list a minority stake in the unit to help it fund its shift away from oil and gas.
It will present its plans for the business, which includes renewable power generation and energy sales to customers, later on Monday.
Eni is looking to float between 25% and 30% but it could sell a bit more if market demand is there, one of the sources said.
Eni declined to comment.
Sources have previously said the unit, created earlier this year as part of Eni's broader plans to decarbonize its business, could be worth around EUR10 B (USD11.3 B).
In April the group's finance head Francesco Gattei said merging its renewable energy and retail operations could create a vehicle with double-digit multiples.
As MRC wrote earlier, Eni is evaluating conversion of its Livorno refinery in northwest Italy into a biorefinery, as part of the Italian company's wider strategy to make its activities more environmentally sustainable. Eni has already converted two of its Italian refineries and is looking to almost double its biorefining capacity to around 2 million mt/year by 2024, and expand this to at least five times by 2050, as part of its pledge to achieve complete carbon neutrality by 2050.
Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.
According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,868,160 tonnes in the first nine months of 2021, up by 18% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 1,138,510 tonnes in the first nine months of 2021, up by 30% year on year. Supply of propylene homopolymer (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding PP random copolymers decreased significantly.
Eni, abbreviation of Ente Nazionale Idrocarburi, in full Eni SpA, Italian energy company operating primarily in petroleum, natural gas, and petrochemicals. Established in 1953, it is one of Europe's largest oil companies in terms of sales.
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