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Italgas (Baa2): Looking at 2i Rete Gas

UTILITIES
  • €4-5bn valuation mooted.
  • 2i had been looking at a partial IPO.
  • Back of the envelope, an all-cash transaction for the entire company would move headline leverage from 5.5x to 9x ignoring synergies. Clearly funding mix for this becomes the key question with full debt financing very unlikely.

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