Eni explores stake sale in Plenitude for energy transition boost

Eni SpA, Italy's leading oil and gas company, is currently in discussions with various investment funds regarding the sale of a minority stake in its renewable and retail business, Plenitude. This move is part of Eni's broader strategy to attract specialized investors to bolster its energy transition initiatives. Earlier in March 2024, Eni successfully sold a 7.6% stake in Plenitude to Energy Infrastructure Partners for approximately €10 billion ($11.09 billion), which sets a valuation benchmark for the ongoing negotiations. The talks with potential investors are centered around Plenitude's valuation, which remains consistent with the price at which EIP acquired its shares. Despite the ongoing discussions, both Eni and the interested investors have chosen not to publicly comment on the matter. This strategic approach aligns with Eni's commitment to transforming its operations towards a more sustainable energy future. In addition to the potential stake sale in Plenitude, Eni has also entered exclusive negotiations with U.S. investment firm KKR for the sale of up to 25% of its biofuel business, Enilive. This indicates Eni's focus on diversifying its portfolio and enhancing its low-carbon initiatives, which are crucial for meeting future energy demands and regulatory requirements. Investors looking at the energy sector may find opportunities in other well-ranked stocks, such as MPLX LP and Core Laboratories, which are noted for their stable revenue streams and growth potential. Eni's ongoing efforts to engage with specialized investors reflect a significant shift in the energy landscape towards sustainability and innovation.