Madrid’s ACS Group to receive €2.9bn from industrial unit sale to Vinci

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Madrid’s ACS Group to receive €2.9bn from industrial unit sale to Vinci

Actividades de Construcción y Servicios SA, dubbed as ACS Group in short, had issued a statement later last week saying that the Spanish Civil Engineering company would coffer up a net gain of at least €2.9 billion from a divestment of its industrial unit to its French arch-rival Vinci SA, suggesting a sagacious move as the Madrid-headquartered one of the world’s leading construction companies had reportedly been planning to branch out its core businesses.

On top of that, ACS and Vinci SA had signed off a sale deed for ACS’s industrial unit on Friday after receiving greenlights from anti-trust regulators, though the rivals had reached a €4.9 billion accord back in March, 2021.

Aside from that, ACS Group also had agreed to metamorphosize a JV with Vinci SA, under financial terms of which, Vinci SA would hold a controlling 51 per cent stake in the venture that in effect would manage all renewable assets held by the companies’ business units.

ACS to receive €2.9bn from sale of its industrial unit

Besides, top officials of ACS alongside Vinci SA were quoted saying that the entities had been looking to conclude the transaction by the end of 2021, nonetheless, neither Vinci SA nor ACS had made a statement yet regarding the deal.

Under financial terms of ACS Group’s divestment of its industrial unit, the Spanish construction industry mogul was expecting to receive an additional €600 million over next seven years through profits generated by the unit.

Madrid-listed Shares’ prices of ACS Group jumped 1.07 per cent to €23.57 apiece in late-afternoon trading on Friday following the announcement, while Paris-listed Vinci SA jumped 1.01 per cent to €92.91 per share.