LONDON, Dec 25 (Reuters) - Royal Dutch Shell's 23.1 percent stake in Australian oil and gas group Woodside Petroleum is seen as more likely to be split up and/or sold to institutional shareholders than to go in one piece to a strategic buyer, bankers said.
The holding, worth about $6.4 billion and left over from Shell's abortive attempt to acquire Woodside in 2001, has long been viewed as non-core to Shell.
This year, the Anglo-Dutch company promised to accelerate asset sales to reflate a narrowing cushion between cash inflow and investment spending.
Reuters was unable to verify Shell's intentions for the stake. Shell and Woodside declined to comment on its future.
Bankers say the holding is an obvious selloff candidate for incoming Chief Executive Ben van Beurden, who takes the job on Jan. 1 and will offer strategy pointers on Jan. 30 along with fourth-quarter results.
However, they say, other investor-owned international oil companies big enough to buy it are also in selloff mode.
Meanwhile, a strategic buyer such as one of China's top oil companies or the national oil companies (NOCs) of gas-hungry countries such as India or Thailand might be put off by Shell's experience with the Australian government when it tried to take full control of Woodside in 2001.
View Full Article
Copyright 2016 Thomson Reuters. Click for Restrictions.
WHAT DO YOU THINK?
Click on the button below to add a comment.
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
Most Popular Articles
From the Career Center
Jobs that may interest you