Tokyo Gas buys stake in Vietnamese city gas firm

TOKYO, July 31 (Reuters) - Japan’s biggest city gas supplier Tokyo Gas said on Monday it has acquired a 24.9 percent stake in Vietnamese gas firm PetroVietnam Low Pressure Gas Distribution Joint Stock Co, a unit of PetroVietnam Gas Joint Stock Corp.

Tokyo Gas officials said the stake was worth about 5.4 billion yen ($49 million), based on recent share prices, but declined to comment on the exact price due to a confidentiality agreement.

Under a strategic alliance, Tokyo Gas will use its technology and expertise to expand the Vietnamese firm’s city gas sales to industrial natural gas users, officials at the Japanese firm said.

Vietnam marks the second country after Malaysia where Tokyo Gas has taken an equity stake to participate in gas sales, the officials added. ($1 = 110.5000 yen) (Reporting by Osamu Tsukimori; Editing by Richard Pullin)