MADRID (Reuters) -Spain is planning to extend for a second time the curbs imposed on foreign takeovers of companies it deems strategic for two more years, its economy ministry said on Monday, while aiming to widen its ambit to also include assets of such companies.
The restrictions apply to stakes larger than 10% in listed companies or any acquisition worth more than 500 million euros ($525.85 million).
The measures were put in place to protect Spanish firms during the pandemic with Madrid imposing an authorisation process for acquisition by a foreign company, giving the government a de facto veto on such transactions.
The restrictions were set to expire in 2021 but was extended to Dec. 31, 2022.
“This veto power makes transactions such as the asset split of Naturgy or the divestment of gas assets by Endesa very difficult,” an RBC broker said on Monday in a note to investors.
Naturgy is planning to complete the separation of its infrastructure and energy business, but the energy market disruption has probably delayed the process that was originally expected this year and which could lead to a change of ownership.
Naturgy’s shareholders include private equity firms CVC and GIP and Criteria Caixa, the investment holding company which is the main shareholder of Caixabank.
Shares in Naturgy were 0.4% down, in line with Spain’s leading index Ibex-35.
The country’s plan to extend the restrictions was earlier reported by newspaper El Pais.
($1 = 0.9508 euros)
(Reporting by Inti Landauro and Belén Carreño; additional reporting by Jesús Aguado; Editing by Kirsten Donovan and Arun Koyyur)
