Repsol, Criteria Caixa mull Gas Natural stake sale

U.S. investment fund in preliminary talks to buy stake; twenty pct stake has market value of around $4.2 billion.

Spanish oil firm Repsol and Criteria Caixa, an industrial holding company that owns Caixabank, said on Thursday they were in talks with various investors to each sell around 10 percent of Gas Natural (EGAS) .

Two sources familiar with the matter told Reuters earlier that U.S. investment fund Global Infrastructure Partners (GIP) is in preliminary discussions with Repsol and Criteria to buy part of Gas Natural.

Repsol and Criteria did not confirm which investors they were talking to. However, they said in separate statements to the stock market regulator that they were exploring the sale of a combined 20 percent in the gas company.

A 20 percent stake of Gas Natural has a current market value of around 3.8 billion euros ($4.23 billion).

GIP said it would not comment on speculation or market rumours. Gas Natural declined to comment.

Criteria - the holding company of Caixabank and which has stakes in other Spanish companies such as infrastructure group Abertis - holds 34 percent of Gas Natural while Repsol has 30 percent of the gas company.

"Repsol and Criteria are in contact with various investors," the oil company said. "This analysis is in a preliminary phase, and no decision has yet been taken."

Repsol has sold off various assets in recent months, such as an offshore wind power business in Britain, as it looks to trim its debt.

Criteria and its banking unit, meanwhile, are both under pressure to boost their solvency ratios in a more demanding global regulatory environment.

In last month's Europe-wide stress test, both Criteria and Caixabank were among the weakest links in the health checks.

Bloomberg earlier reported that the sale could value the Gas Natural stake at about 4 billion euros, citing sources familiar with the matter.

Analysts at Banco Sabadell said that this price tag would be positive for the gas company, though they added this initial stake selldown raised the possibility of further disposals, which could weigh on the shares.

"This disinvestment would be the official declaration by Repsol and Criteria that their remaining stakes (in Gas Natural) are not strategic for either of them," the analysts said.

Shares in Gas Natural were up 4.4 percent at 19.33 euros per share at 1200 GMT.

By Andrés González