Sasol Sells 30% Mozambique Gas Pipe Stake for $361 Million

Sasol Ltd. agreed to sell a 30% stake in a natural gas pipeline running from Mozambique to South Africa for as much as 5.1 billion rand ($361 million) in order to pay down debt, Bloomberg News reported. The deal rounds out an accelerated asset-sale program that has helped Sasol reduce borrowings that ballooned amid cost overruns at a giant U.S. chemicals project and call off a proposed $2 billion share sale. The company started hunting for a buyer for its pipeline shares last year as it examined ways to bolster its finances amid mounting pressure from creditors. Sasol will sell part of its stake in the Rompco pipeline to a group of buyers including a unit of South African financial-services firm Old Mutual Ltd., it said in a statement Friday. The fuel and chemicals maker will retain a 20% holding and continue to operate and maintain the 865-kilometer (540-mile) link. Read more.