Marubeni Corporation and Toho Gas Co. have reached an agreement with Galp Energia, SGPS, S.A. (Galp), a major Portuguese energy company, to acquire a 22.5% stake of its wholly-owned gas distribution company, Galp Gás Natural Distribuição, S.A. (GGND). Frontier advised Marubeni, providing regulatory and commercial support during the process.

GGND is the largest gas distribution company in Portugal, with a market share of approximately 70%. GGND distributes gas to 1 million households, including those in Lisbon. Marubeni is a Japanese-based company which operates in a range of sectors: in the gas distribution sector, Marubeni owns and operates a gas pipeline and gas distribution business in Australia. Toho Gas is a Japanese-based company whose main business is distributing natural gas in the South East of Japan.

The transaction marks the largest equity participation by a Japanese company in the European gas distribution market, and the first in the Portuguese gas distribution sector.

Frontier regularly advises companies and regulators on merger and competition issues.

For more information, please contact Julia Caldano  on julia.caldano@frontier-economics.com or call +34 91 343 2350.