Shell sells entire stake in Woodside Petroleum

Royal Dutch Shell said on Monday that following strong demand from institutional investors, it has now agreed to sell its entire holding in Woodside Petroleum.

The oil giant said earlier in the day that it had agreed to sell 71.6m shares in Woodside to two investment banks, cuttings its holding to 4.8%.

However, it announced later that a total of 111.8m shares were agreed to be sold, representing subsidiary Shell Energy Holdings Australia Limited’s entire interest in Woodside, for total pre-tax proceeds of $2.8bn. Completion of the sale is expected on Tuesday, with settlement on Thursday.

Chief financial officer Jessica Uhl said earlier: “This sale is another step towards the completion of our three-year $30bn divestment programme, which is an important part of our strategy to reshape Shell, to deliver a world class investment case, and to strengthen our financial framework. Proceeds from the sale will contribute to reducing our net debt.”