Abu Dhabi Seeks Local Investors for $21 Billion Pipeline

Abu Dhabi Seeks Local Investors for $21 Billion Pipeline

Abu Dhabi Seeks Local Investors for $21 Billion Pipeline

(Bloomberg) — Abu Dhabi is considering bringing local investors into its natural-gas pipeline network, according to people familiar with the matter, just months after raising cash from foreign funds.

State-owned Abu Dhabi National Oil Co. is discussing moving its 51% holding in the pipelines into a special-purpose vehicle, according to the people. It would then sell about 20% of the vehicle to one or more local funds, giving them an indirect interest in the underlying assets, the people said, asking not to be identified because the information is private.

The company plans to do any deal at the same valuation as a transaction in June, when it sold a stake in the pipelines to international investors, valuing them at nearly $21 billion including debt, the people