Morgan Stanley initiates coverage of Italy's Italgas with 'overweight' rating

Italgas SpA

26/06/2025 09:26

** Morgan Stanley initiates coverage on Europe's biggest gas distributor Italgas IG.MI with 'overweight' rating, PT at 8.10 euros ($9.48)

** Highlights 2i Rete Gas acquisition is expected to drive top-line growth via capital expenditure adjustments, offer cost synergy opportunities

** "Italgas presents an attractive combination of both (yield and growth)," broker says, noting 14% total shareholder return

** Expects an integration update and indication of initial synergies at the company's capital markets day on Oct 29, which could act as the next key catalyst for the company

** Shares up 1.7% to 7.15 euros at 8:23 GMT; gain 40.74% YTD, including today's rise​

($1 = 0.8540 euros)

 (Reporting by Laura Contemori)

 ((Laura.contemori@thomsonreuters.com))