According to the media, state-owned Electrica, the minority shareholder in Enel Distributie Muntenia and Enel Energie Muntenia, seeks for settlement with Enel in the Arbitrage Court of Paris. The parties did not reach an agreement on the price Electrica should get for the 13.57% stake it plans to sell in the distribution and supply companies. The privatization sale and purchase agreement included a put option and a mechanism for setting the price. Based on this mechanism Electrica is asking EUR 520 mn, amount contested by Enel.

We were hoping Fondul Proprietatea might tag along with Electrica but in our view the disagreements between the parties and the further delays due to the trial lower the chances for Fondul Proprietatea to reach a quick deal with Enel.

Source: bne