The coming nationalization of the YPF portion of Repsol YPF SA (OTC: REPYY.PK) by the Argentine government has killed a deal that the Spanish company had been reportedly negotiating with China Petroleum and Chemical Co. (NYSE: SNP), known as Sinopec, to sell Repsol’s 57% stake in YPF to the Chinese firm. Sinopec is a partner with Repsol in Brazil, and paid the Spanish company $7.1 billion for a 40% stake in Repsol’s Brazilian offshore assets.
According to reports in the Financial Times, Repsol wanted more than $10 billion for its stake in YPF and had hoped to get a deal agreed before going to Argentina’s President Cristina Kirchner. But she beat Repsol and Sinopec to the punch with yesterday’s announcement that the government would re-nationalize YPF.
Sinopec, of course, now has no intention of buying Repsol’s stake in YPF and the government of Argentina appears to have no intention of paying Repsol $10 billion or more for the Spanish company’s stake. Repsol shareholders can only lament the one that got away.
Paul Ausick
Are You Ahead, or Behind on Retirement? (sponsor)
If you’re one of the over 4 Million Americans set to retire this year, you may want to pay attention.
Finding a financial advisor who puts your interest first can be the difference between a rich retirement and barely getting by, and today it’s easier than ever. SmartAsset’s free tool matches you with up to three fiduciary financial advisors that serve your area in minutes. Each advisor has been carefully vetted, and must act in your best interests. Start your search now.
Don’t waste another minute; get started right here and help your retirement dreams become a retirement reality.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.