Sempra Agrees to Sell 10% Stake in Infrastructure Unit for $1.785 Billion

By Jeffrey T. Lewis

Sempra said Tuesday it agreed to sell a 10% stake in its infrastructure unit to a subsidiary of the Abu Dhabi Investment Authority for $1.785 billion in cash.

The San Diego-based electric and gas utility said the sale price implies an enterprise value for the unit, Sempra Infrastructure Partners, at $26.5 billion, including asset-related debt of about $8.6 billion.

The sale is expected to be completed in the summer of next year and proceeds will be used to help fund capital spending at Sempra's utilities and for a share buyback program, Sempra said. Sempra completed the sale of a 20% stake in the infrastructure unit earlier this year, and after the close of the sale announced today, the company will own 70% of the unit.

Sempra affirmed its fiscal 2022 earnings-per-share guidance range of $8.10 to $8.70.

The infrastructure unit was created earlier this year from the combination of Sempra LNG and Infraestructura Energética Nova SAB de CV, or IEnova, and consists of platforms including clean power, energy networks and liquid natural gas.

Write to Jeffrey T. Lewis at [e-mail]

(END) Dow Jones Newswires

12-21-21 1652ET