Repsol has sold an 11.86% stake in YPF to Morgan Stanley for $1.26 billion, according to a Reuters report. With this sale, Repsol exits Argentina, which seized its majority stake in the now nationalized energy group. The Argentine government expropriated a 51% holding in YPF in 2012.
Reuters noted that Repsol's decision to sell follows final approval from Argentina's Congress last month to pay Repsol $5 billion in bonds to compensate the Spanish oil firm for the seizure.
Repsol will make a $622 million pretax capital gain from the stake sale, which leaves Repsol with under 0.5% of the Argentinian group.