Centrica ‘simplifying’ Spirit Energy sales process

SourceEnergy Voice
SectorOil & Gas
CountryGulf

Utilities firm Centrica said today that it was simplifying the sales process for its upstream exploration and production (E&P) business, Spirit Energy.

London-listed Centrica, which owns British Gas, said the joint-venture structure of Spirit had limited the number of parties interested in buying the company.

The uncertain backdrop created by the Covid-19 pandemic also put a crimp on the marketing push.

But Centrica said it had “made progress towards pursuing alternative sale options”.

The company said this would “simplify the sale structure” and help it maximise the value of its assets while “de-risking liabilities”.

Centrica first announced its plans to offload its 69% stake in Spirit Energy in 2019 and was due to receive initial bids by the end of March 2020.

However, Centrica paused the sales process last year when the Covid pandemic hit.

In December, Bloomberg cited a Centrica representative as saying the company was in discussions with “a number of parties”.

Centrica reiterated its desire to sell up in its full-year 2020 results statement in...read more...