By Ilan Brat 

MADRID--Spain's Repsol S.A. said Friday it had agreed to sell some of the bonds it received from Argentina in compensation for the country's nationalization of the company's local unit.

In a filing with Spain's market supervisor, Repsol said J.P. Morgan Securities PLC had agreed to buy the bonds for $2.8 billion in a transaction expected to close by early next week.

In Spring 2012, Argentina seized and later nationalized Repsol's local unit, YPF SA, which is the country's largest oil-and-gas company in terms of production. Two years later, Argentina agreed to compensate Repsol with about $5 billion worth of government bonds. The country issued those bonds on Thursday, and Repsol said it had sold just over half of them.

The sale will add to Repsol's growing cash pile, which company executives on Thursday said they intend to use mostly for acquisitions. Earlier this week, Repsol said it had s old nearly all of its 12% remaining stake in YPF for $1.26 billion.

Write to Ilan Brat at ilan.brat@wsj.com

Subscribe to WSJ: http://online.wsj.com?mod=djnwires

YPF Sociedad Anonima (NYSE:YPF)
Historical Stock Chart
From Feb 2024 to Mar 2024 Click Here for more YPF Sociedad Anonima Charts.
YPF Sociedad Anonima (NYSE:YPF)
Historical Stock Chart
From Mar 2023 to Mar 2024 Click Here for more YPF Sociedad Anonima Charts.