Snam approves 8 bln euro bond programme for Eni exit
MILAN, June 4
MILAN, June 4 (Reuters) - Italy's gas transport group Snam said on Monday it had approved a bond issue programme of up to 8 billion euros as it moves ahead with plans to separate from oil and gas group Eni.
In a statement Snam said the Euro Medium Term Notes (EMTN) programme will be issued in one or more tranches between now and June 4, 2013.
The Italian government said in a decree in May that Eni had up to 18 months to sell down its 52.5 percent stake in Snam which is worth around 6 billion euros.
A disposal would let Eni take 11 billion euros of debt off its balance sheet which Snam will have to refinance.
Snam said the bonds will be placed with European institutional investors.
It also said it intended to proceed with the cancellation of its treasury shares. (Reporting By Stephen Jewkes)