Sempra Energy to Sell Noncontrolling Stake in New Business Unit to KKR for $3.37 Billion

By Dave Sebastian

Sempra Energy said it has agreed to sell a noncontrolling 20% stake in Sempra Infrastructure Partners, Sempra's new business unit, to KKR & Co. for $3.37 billion in cash.

The transaction values Sempra Infrastructure Partners at about $25.2 billion, including expected asset-related debt at closing of $8.37 billion, Sempra Energy said Monday. The deal is part of a series of transactions laid out in December to simplify Sempra Energy's non-utility infrastructure investments under one self-funding platform, the company said.

Sempra Infrastructure Partners will focus on North American LNG export infrastructure, natural gas infrastructure and renewable energy, the company said in December.

KKR will be acquiring the indirect stake in the Mexican energy unit IEnova at $4.13 a share, Sempra said.

Sempra said proceeds from the sale will help fund growth across its $32 billion capital program, which focuses on U.S. utilities, and strengthen its balance sheet. It expects the transaction to add to its earnings.

The companies expect the transaction to close by mid-2021.

Write to Dave Sebastian at [e-mail]

(END) Dow Jones Newswires

04-05-21 0731ET