ID :
168243
Tue, 03/15/2011 - 08:38
Auther :
Shortlink :
https://oananews.org//node/168243
The shortlink copeid
Qatar Holding to Become Strategic Partner
Doha, March 14 (QNA) - Qatar Holding LLC and Iberdrola, S.A. on Monday announced that they have signed a Strategic Memorandum of Understanding setting forth the framework for collaboration in developing their respective business activities through the establishment of a long-term, mutually beneficial, strategic partnership.
The two parties will cooperate for the purpose of developing new business opportunities in different areas of the global electricity value chain with a focus on high-growth and emerging markets. Iberdrola also intends to establish its regional Headquarters as well as research and development operations in the State of Qatar.
Additionally, Qatar Holding through its wholly-owned subsidiary has fully subscribed to the 6.17% capital increase approved by the Board of Directors of Iberdrola for a total investment amount of euro1,906 million. The issue price is ?5.633 per Iberdrola share. Further, Qatar Holding through its wholly-owned subsidiary has agreed to acquire treasury shares representing 0.37% of the share capital of Iberdrola pre-increase, at the same price per share for a total purchase amount of euro115 million. Consequently, Qatar Holding through its subsidiary will hold 6.16% of the share capital of Iberdrola outstanding after the capital increase. The cash inflow from the capital increase will allow Iberdrola to strengthen its financial position and pursue corporate transactions such as its proposed merger with Iberdrola Renovables, S.A., the acquisition of Elektro Electricidade e Servicios, S.A. in Brazil, and other growth opportunities.
HE the Prime Minister and Foreign Minister Sheikh Hamad bin Jassim bin Jabor Al-Thani, who is also Board Chairman of Qatar Holding, in a statement on the occasion expressed his pleasure to announce the investment of Qatar Holding Company in "IBEDROLA " and the signing of a memorandum of understanding for strategic cooperation between them and expressed his hope that this deal would strengthen the excellent bilateral relations between Qatar and the Kingdom of Spain.
HE the Premier and Foreign Minister further said that this deal represents a continuation of the efforts of the State of Qatar to strengthen its investment portfolio both geographically and qualitatively so as to achieve the vision of HH the Emir Sheikh Hamad bin Khalifa al-Thani, and HH the Heir Apparent Sheikh Tamim bin Hamad al-Thani, in building and supporting international investment portfolio to form the basic foundation for the diversification of income sources of the national economy in the future.
Commenting on the transaction, Mr. Ahmad Mohamed Al-Sayed, Managing Director and Chief Executive Officer of Qatar Holding, said: "We are pleased to announce this strategic transaction with Iberdrola and look forward to a long-term partnership as outlined in our Memorandum of Understanding. In addition to a strong, stable European franchise, our investment in Iberdrola provides significant exposure to other important global markets including Brazil, Mexico and the United States of America. As such, this investment represents a further step in our strategy of building a diversified portfolio of leading global enterprises."
Ignacio S. Galin, Chairman and CEO of Iberdrola, said: "I welcome Qatar Holding as a new major shareholder and strategic partner of Iberdrola. Through this investment, Qatar Holding recognizes the success of Iberdrola s strategy. The Strategic Memorandum of Understanding represents the first step of a long-term relationship that will support each other s future development". (QNA)
The two parties will cooperate for the purpose of developing new business opportunities in different areas of the global electricity value chain with a focus on high-growth and emerging markets. Iberdrola also intends to establish its regional Headquarters as well as research and development operations in the State of Qatar.
Additionally, Qatar Holding through its wholly-owned subsidiary has fully subscribed to the 6.17% capital increase approved by the Board of Directors of Iberdrola for a total investment amount of euro1,906 million. The issue price is ?5.633 per Iberdrola share. Further, Qatar Holding through its wholly-owned subsidiary has agreed to acquire treasury shares representing 0.37% of the share capital of Iberdrola pre-increase, at the same price per share for a total purchase amount of euro115 million. Consequently, Qatar Holding through its subsidiary will hold 6.16% of the share capital of Iberdrola outstanding after the capital increase. The cash inflow from the capital increase will allow Iberdrola to strengthen its financial position and pursue corporate transactions such as its proposed merger with Iberdrola Renovables, S.A., the acquisition of Elektro Electricidade e Servicios, S.A. in Brazil, and other growth opportunities.
HE the Prime Minister and Foreign Minister Sheikh Hamad bin Jassim bin Jabor Al-Thani, who is also Board Chairman of Qatar Holding, in a statement on the occasion expressed his pleasure to announce the investment of Qatar Holding Company in "IBEDROLA " and the signing of a memorandum of understanding for strategic cooperation between them and expressed his hope that this deal would strengthen the excellent bilateral relations between Qatar and the Kingdom of Spain.
HE the Premier and Foreign Minister further said that this deal represents a continuation of the efforts of the State of Qatar to strengthen its investment portfolio both geographically and qualitatively so as to achieve the vision of HH the Emir Sheikh Hamad bin Khalifa al-Thani, and HH the Heir Apparent Sheikh Tamim bin Hamad al-Thani, in building and supporting international investment portfolio to form the basic foundation for the diversification of income sources of the national economy in the future.
Commenting on the transaction, Mr. Ahmad Mohamed Al-Sayed, Managing Director and Chief Executive Officer of Qatar Holding, said: "We are pleased to announce this strategic transaction with Iberdrola and look forward to a long-term partnership as outlined in our Memorandum of Understanding. In addition to a strong, stable European franchise, our investment in Iberdrola provides significant exposure to other important global markets including Brazil, Mexico and the United States of America. As such, this investment represents a further step in our strategy of building a diversified portfolio of leading global enterprises."
Ignacio S. Galin, Chairman and CEO of Iberdrola, said: "I welcome Qatar Holding as a new major shareholder and strategic partner of Iberdrola. Through this investment, Qatar Holding recognizes the success of Iberdrola s strategy. The Strategic Memorandum of Understanding represents the first step of a long-term relationship that will support each other s future development". (QNA)
