Snam enters agreement with Blackstone for 33% stakes acquisition in De Nora

Snam has signed an agreement with funds managed by Blackstone Tactical Opportunities (Blackstone) for the purchase of a strategic stake of approximately 33% in Industrie De Nora S.p.A. (De Nora), a global innovator in sustainable clean energy and water treatment technologies, based on a 100% enterprise value of approximately EUR1.2 billion (US$1.4 billion). The acquisition, whose completion is scheduled for the first quarter of 2021 after the relevant antitrust clearances, will be undertaken with its own funds.

De Nora, an Italian company founded in 1923, offers sustainable solutions for various industrial processes and has significant growth prospects thanks to exposure to two megatrends in the energy transition, in particular the production of green hydrogen and water treatment. With regards to hydrogen, De Nora's strength stems from its world-leading position in the manufacture of electrodes for electrochemical industrial applications. The company has consolidated leadership in numerous sectors. In particular, in the recent past, De Nora launched its latest generation of electrodes, essential components to substantially improve the performances and the economics of hydrogen produced using alkaline water electrolysis process.

Based on the agreements, which will be finalized upon completion of the operation, Snam will be able to appoint three directors of De Nora and will be represented on the newly formed technical and strategic committees, with the possibility of seconding its staff to the company.

Blackstone was advised by Lazard and Mediobanca. Snam was advised by BofA Securities.