Portugal's state reaches 19% of REN after buying Fidelidade's 5.3% stake
Parpública agreed to buy the REN stake held by the Fidelidade insurance group, and the government says its target for the state's holding is now complete. The purchase still needs a visa from the Tribunal de Contas, and its financial terms will not be disclosed until then.
The Fidelidade deal
Portugal's Ministry of Finance announced on Friday, 9 October 2026, that the government considers its objective for the state's stake in REN complete. Through Parpública, the state reached an agreement with the Fidelidade group to buy its entire holding in the grid operator, lifting the state's participation to 19% of the capital. Sources give the Fidelidade stake differently: the ministry and some reports put it at 5.3%, REN's filing to the securities regulator CMVM is cited at 5.32%, and Observador reports 5.2%.
Conditions and valuation
The operation still depends on a prior visa from the Tribunal de Contas, the Court of Auditors, before it can be completed. The ministry said the final financial terms and the agreed price per share will only be made known after that validation. At Friday's market price, the 5.3% stake is valued at about 125 million euros. REN shares closed the session at 3.535 euros, giving the company a market value of about 2.36 billion euros.
The first phase
The executive led by Luís Montenegro outlined a two-stage plan in August. The first stage was the purchase of the 13.7% stake held by Pontegadea Inversiones, the investment vehicle of Amancio Ortega, founder of Inditex, which owns Zara. The Tribunal de Contas granted its visa on 1 September 2026, and the state paid 389.8 million euros for the stake, or 4.25 euros per share. The amount was not disclosed when the purchase was first announced and only emerged later in documents sent to the Tribunal de Contas.
- Executive outlines a two-stage plan to raise the state's stake in REN
- Tribunal de Contas grants visa for purchase of Pontegadea's 13.7% stake
- Parpública completes purchase of Pontegadea's 13.7% for 389.8 million euros
- Agreement with Fidelidade lifts the state's REN stake to 19%
Shareholder position
With the Fidelidade stake added, the state becomes the second-largest shareholder in the concessionaire of Portugal's electricity and natural gas grids, directly behind State Grid Corporation of China, which holds 25%. Fidelidade is controlled by the Chinese group Fosun, which Observador also describes as the largest shareholder of BCP.
- Pontegadea Inversiones (September 2026)
- 13.7 %
- Fidelidade (9 October 2026)
- 5.3 %
Government position
The ministry said the mandate allowed purchases of up to 20% of REN's capital, but the government will not pursue further acquisitions.
At this stage, the government considers that the objective of participation in REN has been concluded.
The ministry justified the decision by citing the need to defend the public interest and preserve what it called a strategic asset for the country. The Fidelidade transaction will close only after the Tribunal de Contas validates it, and the detailed terms will be published at that point.
