E.ON to increase stake in innogy to 86.2%

By Olivia Minnock
Following a voluntary public takeover o...

Following a voluntary public takeover offer that has been in the works for some time, it was announced yesterday that German energy company E.ON will take a further stake in German renewables business innogy.

E.ON will own a further 9.4% of innogy in addition to 76.8% it has taken from innogy’s parent company, RWE, as part of the takeover agreement. As such, E.ON will own 86.2% of the renewables firm.

E.ON made an offer to buy the shares in Essen-based innogy following the RWE deal in March. E.ON will buy innogy’s grid and retail business with RWE taking on the renewable energy assets of both innogy and E.ON. As part of the deal, RWE will also own 16.7% “effective participation” in E.ON.

The takeover is still undergoing regulatory scrutiny and awaiting approvals, but is expected to be completed in 2019.

See also:

Google and E.ON partner on UK solar project

€850mn green bond issued by innogy for wind power projects

Read the latest issue of Energy Digital magazine

E.ON CFO Marc Spieker said of the deal: “The agreed acquisition of RWE’s majority stake will already provide us with the necessary means to integrate innogy into E.ON once the transaction has completed. We are pleased that we were able to convince many additional shareholders of our offer.”

Innogy split from its parent RWE in 2016 and owns all parts of the business except conventional power plants, making up around 66% of RWE’s business and thus making the subsidiary larger than its parent company. With operations across the UK, Germany, the Netherlands, Czech Republic, Slovakia, Poland, Hungary and Austria, innogy takes care of solar; onshore and offshore wind; and biomass energy production.

Speaking to Energy Digital magazine for an upcoming feature, CPO Ulrich Piepel was confident about innogy’s future. “We want to learn from other organisations and develop an even greater network of buyers. We must continue to push digitisation… mainly, we are looking at all the latest trends and getting the best people on board.”

Share

Featured Articles

Q&A: ENGIE Impact’s Exec MD for EMEA & APAC Mark Chadwick

Companies must look forward and devise strategies to decarbonise their operations. ENGIE Impact’s 2024 Net Zero report shares their ambitions vs. actions

Mercedes F1 Team first in motorsport to sign Climate Pledge

Mercedes-AMG PETRONAS F1 have become the first motorsport team to sign The Climate Pledge, committing to reach Net Zero carbon emissions by 2040

Onward: Shell Launches Trailblazing Global Climate Tech

Powered by Shell, Onward’s new advisory board includes executives from major global companies including Nike and XPRIZE to accelerate the energy transition

Bechtel & Westinghouse Unite for European Nuclear Power

Renewable Energy

Swedish Power Company Vattenfall Celebrates 115 years

Utilities

Amazon to use Half of Offshore Wind Farm’s Renewable Energy

Renewable Energy