Three teams have bid to acquire Madrileña Red de Gas, a Spanish natural gas distributor owned by Galp Energia and Morgan Stanley infrastructure unit.

Madrileña Red de Gasis, which is the natural gas distribution company with perpetual licences serving 57 municipalities in the Region of Madrid (Madrid Autonomous Community), has about 5,350 kilometers of pipelines. The company operates 11% of the natural gas connection points in Spain. The firm's EBITDA in 2014 was €149.2 million (US$161.7 million).

The three consortia that have entered in the second round to acquire the gas firm are the following:

• Canada Pension Plan Investment Board (CPPIB), Allianz and Abu Dhabi Investment Authority (ADIA)
• Public Sector Pension Investment Board (PSP Investments) and Arcus Infrastructure
• Gingko Tree and PGGM

The value of the transaction is estimated at €1.2 billion (US$1.3 billion). Citi is responsible for selling the company, which is majority owned by Morgan Stanley.

In 2010 Gas Natural sold Madrileña Red de Gas to  Galp Energia and Morgan Stanley for a total of €800 million, after regulators forced a sale. Morgan Stanley owns the distribution assets and Galp Energia owns the supply businesses.