Eni, Livestream to raise $230mn for energy transition fund

Eni said March 9 it will float its energy transition investment partnership with LiveStream LLC, New Energy One Acquisition (NEOA), on the London Stock Exchange.

New Energy One Acquisition will become the largest energy transition investment fund structured as a special purpose acquisition company (SPAC), according to Reuters. SPACs are shell structures that allow investment consortia to raise money from stock exchanges, before merging with a privately held company that replaces the structure on the trading floor.

NEOA is expected to seek investor subscriptions for up to £175mn ($230mn) in total. Eni can invest as much as £25mn ($32.9mn) for shares in the unit, but will initially purchase $17.5mn.

The vehicle will look to Europe and the UK to acquire a private business target, in sectors including hydrogen, green ammonia, carbon capture and energy storage. Eni will lend its strategic and technical expertise to the team to build market insights on decarbonisation opportunities.

The Italian major views NEOA as a strategic move to expand open innovation in the rapidly evolving energy transition.

"Our strategy for the energy transition involves several technological and industrial initiatives to ensure the success of our ambitious net zero commitments, and in particular our decision to partner with NEOA underlines our commitment to accelerating the near-term decarbonisation of fossil fuels and hard to abate industrial processes," End CFO Francesco Gattei said.