Gonvarri to Be Top Abengoa Holder on $377 Million Injection
- Firm to buy shares to take 28 percent stake in Abengoa
- Gonvarri investment marks latest bid to shore up Abengoa
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Gonvarri Steel Services, a Spanish industrial company, will become the biggest shareholder in Abengoa SA after agreeing to invest 350 million euros ($377 million) to acquire 28 percent of the embattled renewable energy producer. The shares surged.
Gonvarri will build its stake through capital increases in two stages, Seville, Spain-based Abengoa said in a regulatory filing Sunday. Abengoa Class B shares surged 11 percent to close at 1.09 euros in Madrid. Abengoa’s 550 million-euro 8.875 percent bonds maturing in 2018 jumped 8 cents on the euro to 56 cents, the highest in more than three weeks, according to data compiled by Bloomberg.