MADRID—KKR, Axa, and Allianz will participate in an auction for a 49 percent stake in the fiber-optic subsidiary of Spanish grid operator Red Electrica, newspaper Expansion reported on Monday, citing unnamed sources.
The subsidiary, known as Reintel, could fetch between 1.2 billion euros and 1.3 billion euros ($1.4 billion-$1.5 billion), Expansion said, citing financial sources.
Red Electrica declined to comment, while KKR, Axa, and Allianz did not immediately respond to requests for comment.
Reintel, which is owned by Red Electrica, operates a network of more than 50,000 km (31,068 miles) of fibre-optic cable laid along the electricity grid and rail network.
($1 = 0.8636 euros)
By Nathan Allen