Jean-Pierre Sbraire, TotalEnergies’ chief financial officer, stated the transaction “fits with our strategy to actively manage our portfolio by monetizing mature assets and to allocate our talents to the most promising assets.”
Funding and Financial Strategy
Hibiscus announced that the acquisition would be financed through internally generated funds and/or existing debt. The exact breakdown of the financing source “will depend on, amongst others, the group’s cash reserves and future funding requirements.”
“The group does not intend to propose any equity issuances as a source of funding as the group believes that other available sources of funding are sufficient to fund the purchase consideration,” Hibiscus stated.
Alignment with Strategic Goals
The company, listed on the Malaysian stock exchange Bursa Malaysia, highlighted that the proposed takeover aligns with its strategy of acquiring operated producing assets in stable legal jurisdictions and enhancing its gas asset portfolio. Hibiscus noted that Brunei is a “politically stable country” and a key liquefied natural gas exporter in the region.
