IFM’s Growing Presence in Naturgy
In Naturgy, Australian investment group IFM has been expanding its stake, a trend visible in the company’s latest financial report for the first half of the year. The fund now holds a roughly 14% share of Naturgy, signaling a strong commitment to the energy group and reinforcing its position as a major shareholder.
As of the end of June, IFM owned 13.9% of Naturgy’s equity, establishing itself as the fourth-largest shareholder and giving the fund a stake valued at about 3.9 billion euros based on current market pricing. This milestone follows a steady accumulation of shares, aligning with IFM’s strategy to grow its influence in strategic energy assets across Europe and beyond.
IFM’s most recent notable move came at the end of March, when the fund increased its stake by around 1.3%, reaching 13.38% of Naturgy. This steady increase underscores a deliberate path to meaningful governance involvement and potential influence over Naturgy’s strategic decisions.
Looking back to early 2021, IFM joined Naturgy through a partial takeover offer aimed at acquiring 22% of the company. That move followed CriteriaCaixa’s decision to bolster its stake, seeking to elevate ownership to levels around 26.7% with the potential to reach near 30% through successive acquisitions. The result at that time limited IFM’s capital increase to a 10.83% stake, reinforcing the multi-entity dynamic of Naturgy’s ownership structure.
Since then, IFM has continued purchasing shares and expanding its influence, along with exercising governance rights tied to its holdings. In February, IFM gained representation on Naturgy’s board of directors, with James Siles serving as the IFM appointee within the board’s restructuring phase. This appointment reflects a broader trend of international investors seeking closer alignment with Naturgy’s strategy and operations.
Current ownership remains distributed, with CriteriaCaixa continuing to be the largest shareholder at 26.7%, followed by CVC and GIP, both in the low-to-mid-20s range. The Algerian state-owned company is listed as the group’s fifth shareholder with a smaller stake of around 4.1%, illustrating the diverse investor base surrounding Naturgy.
Gemini Project
Before the February 2022 invasion of Ukraine, Naturgy announced a plan to split the company into two entities: NetworksCo, which would house regulated assets, and MarketsCo, focused on the non-regulated businesses. This plan, known as the Gemini project, aimed to streamline operations and unlock value across the different business lines.
Initially, the company anticipated completing the separation within the year. However, during Naturgy’s general meeting in March, president Francisco Reynés indicated that the timing would hinge on market conditions and key regulatory and administrative clearances. Regulatory visibility, credit ratings, and permits all factor into the execution timetable for Gemini.
In its first-half report, Naturgy notes that work on the Gemini project remains under close observation, and the project’s significance and strategic value are reaffirmed. Yet the report also calls attention to market volatility, evolving European energy dynamics, and ongoing regulatory uncertainties. The management team stresses the need to adapt the executive calendar to the pace of events and external developments. These considerations underscore why the Gemini initiative remains a focal point for investor discussions and strategic planning, with ongoing assessments guiding decision-making for the foreseeable future. [Attribution: Naturgy corporate filings and management statements]