French oil company Total SA (TOT) said Friday it has signed a final
agreement to sell TIGF, a regional gas pipeline network, to a group comprising
Italy's Snam (SRG.MI), GIC, a Singaporean sovereign fund, and French
state-controlled power utility Electricite de France SA (EDF.FR).
Total had announced two months ago it had picked the Snam-led group to sell its
natural gas transportation business in southwest
France
in a
deal valuing it at 2.4 billion euros ($3.1 billion). Snam, a gas transportation
and storage company, holds 45% in the consortium, with GIC and EDF owning 35%
and 20%, respectively.
TIGF was put up for sale last autumn as part of a wider strategy to sell EUR20
billion of assets by 2015 to help boost its cash flow and finance substantial
investments.
Total asked potential buyers to protect jobs and working conditions, and
maintain TIGF's headquarters in the southwestern town of
Pau
. TIGF employs 500 people and
generates EUR353 million a year.