Page 15 - DMEA Week 37
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DMEA LNG DMEA
Abu Dhabi’s sovereign wealth
fund buys into Cheniere
US THE Abu Dhabi Investment Authority (ADIA) Cheniere Energy Partners to Brookfield Asset
– the emirate’s main sovereign wealth fund – has Management’s infrastructure unit, as well as to
disclosed a 5.05% stake in US LNG exporter its own Blackstone Infrastructure Partners unit.
Cheniere Energy. The disclosure came in a Bloomberg has reported, citing sources familiar
September 14 filing with the US Securities and with the matter, that the deal involved a $34.25
Exchange Commission (SEC). per unit sale price, which puts its overall value
The fund’s interest in Cheniere, the US’ at around $7bn. The stake will be split equally
leading producer of LNG, consists of around between Blackstone and Brookfield, with each
12.7mn shares and is valued at roughly $615mn, thus owning almost 21% in Cheniere Energy
based on Cheniere’s trading price. According Partners upon the deal’s completion by the end
to Bloomberg, this makes it the fourth-largest of the third quarter of 2020.
shareholder in the US company. Cheniere itself owns a 48.6% interest in
ADIA owns almost $580bn worth of assets Cheniere Energy Partners. The limited part-
and is the world’s third-largest government nership has no involvement in Cheniere’s other
wealth fund, according to the SWF Institute. liquefaction plant, Corpus Christi LNG in Texas.
The fund’s acquisition has emerged as a major Separately, Cheniere said on September 15
stake in Cheniere Energy Partners, a limited that it had upsized and priced an offering of
partnership created by Cheniere to develop and senior secured notes due in 2028 from the ini-
operate the Sabine Pass LNG terminal, as well as tially announced $1bn to $2bn. The offering is
to act as a capital-raising vehicle, and which is expected to close on September 22.
also in the process of changing hands. The LNG producer’s share price rose above
In late August it emerged that Blackstone $50 on September 16, after news of the ADIA
Group is selling its stake of roughly 41% in stake emerged earlier that day.
Week 37 17•September•2020 www. NEWSBASE .com P15
