CVC and Carlyle look to Spanish gas

Private equity giants CVC and the Carlyle Group are gearing up to buy Gas Natural’s Madrid gas distribution assets valued at more than €500m.

The sale is aimed at cutting Gas Natural’s debt pile of €2bn by the end of the year. Chief executive of the Spanish power company, Rafael Villalesca said there are as many as seven potential bidders vying for the assets. It is expected that the sale process will take two months.

The other bidders may include European utilities and infrastructure funds.

US private equity firm Carlyle is said to be working with Iberian buyout firm Magnum Capital Industrial Partners.