Stock market debut of RWE spin-off innogy set to become success
Investor demand for innogy, RWE’s renewable spin-off, exceeds the number of shares on offer in the stock market debut scheduled for next week, reports Handelsblatt. “The initial public offering of RWE subsidiary innogy seems to turn into a success story for CEO Peter Terium,” write Jürgen Flauger and Robert Landgraf. They argue the innogy debut suggests that RWE’s strategy to spin-off renewables might be superior to rival E.ON’s, which split its fossil activities into subsidiary Uniper, but was forced to keep nuclear power plants. E.ON’s market capitalisation has always exceeded RWE’s, but it now seems certain that the combined value of RWE and innogy will clearly top the combined market capitalisation of E.ON and Uniper. Innogy’s market debut is scheduled for 7 October.
For background, read the CLEW factsheets E.ON shareholders ratify energy giant's split and RWE’s plans for new renewable subsidiary.