Eni (E) to Divest $1.52B Stake to Help Reduce Italy's Debt

Group 1: Eni's Stake Sale - Italy is selling a €1.4 billion ($1.52 billion) stake in Eni SpA, which represents 2.8% of the company's shares, as part of a broader strategy to reduce national debt [1][2] - The sale is being conducted through an accelerated book building process, with Italy offering 92 million shares priced at €14.855 each, reflecting a 1.7% discount to Eni's closing price prior to the announcement [3] Group 2: Italy's Privatization Strategy - The Italian government, under Prime Minister Giorgia Meloni, aims to divest around €20 billion worth of state-held assets by 2026, which includes stakes in other major entities like Banca Monte dei Paschi di Siena and Poste Italiane [2] - The proceeds from these asset disposals are intended to help reduce Italy's debt, which was 137% of GDP at the end of 2023 [2] Group 3: Eni's Market Position and Strategy - Eni is one of Europe's largest oil companies, with a current market capitalization of approximately €49 billion, and is actively diversifying into natural gas production and renewable energy sectors [4] - Eni plans to spin off its biochemical division, Novamont, and establish a dedicated unit for carbon capture activities, alongside plans to list its refining and fuel segment, Enilive, indicating a shift towards sustainable energy practices [5][6] Group 4: Eni's Shareholding Structure Post-Sale - After the stake sale, the Italian Treasury will retain roughly a 2% share in Eni, while Cassa Depositi e Prestiti, a state-controlled lender, will maintain about 28% of the company [3]