China, Oman win stake in Portuguese utility REN

THe logo for REN which is being sold by Portugal

LISBON, Portugal (AP) — Portugal’s government says it is selling a 40 percent stake in national grid operator REN to China’s State Grid Corp. and Oman Oil for €592 million ($778 million).

Portugal is privatizing some state companies to comply with the terms of a €78 billion ($102 billion) bailout it needed last year. The revenue helps pay off the country’s huge debts.

The Cabinet announced Thursday that State Grid Corp., China’s main electricity distributor, will pay €387 million for a 25 percent stake in REN — Redes Energeticas Nacionais, SGPS SA.

Oman Oil Company SAOC, which is owned by the government of Oman, is buying a 15 percent stake for $205 million.

Last December, Portugal sold a 21.35 percent stake in utility Energias de Portugal to China Three Gorges Corp. for €2.7 billion.