E.ON to acquire RWE's stake in Innogy in EUR22bn deal

RWE plans to sell its stake in Innogy Npower’s parent company to rival German utility giant Eon

In addition, RWE will - after E.ON has gained control over innogy - get substantially all of E.ONs renewables business including the economic benefits as of January 1, 2018.

German energy company RWE AG (ETR:RWE) on Sunday said it would sell its majority stake in Innogy SE (ETR:IGY) to sector player E.on SE (ETR:EOAN), but it will get the renewables businesses of both firms to create "a leading European utility for renewables and security of supply".

The in-principle agreement involving asset swaps is part of a major restructuring of Germany's energy market as Europe's top economy switches from conventional to renewable power. Various other business activities would also be exchanged, while RWE would also make a €1.5 billion cash payment to E.On under the terms of the agreement.

The logo of German energy company Innogy at its headquarters in Essen.

White House to help arm school employees
Nikolas Cruz, the gunman accused of killing 17 people at Marjory Stoneman Douglas high school in Parkland, is 19 years old. The bill would hold federal agencies accountable if they fail to upload records to the background check system.

As per the deal, RWE's 76.8% stake in innogy is valued with EUR40.00 per share including the expected dividends of EUR3.24 per share in total for 2017 and 2018, which RWE would still receive until the expected closing of the transaction.

Eon would then focus on energy networks and retail, with RWE more generation focused.

Under the terms of the transaction, E.ON will transfer most of its renewable business to RWE. Business daily Handelsblatt said that "for decades EON and RWE were bitter rivals".

Germany's energy landscape has been rapidly transformed since Chancellor Angela Merkel announced the complete phaseout of nuclear energy after Japan's 2011 Fukushima disaster.

Related News:



Most liked

Baby found crawling in middle of busy NY road
The video showed the 9-month-old infant in the middle of Bleecker Street, unattended, before citizens stepped in to help. Police arrested a NY mother on Saturday after video surfaced of an infant crawling alone in the middle of the road.

Knife attacker shot outside Iranian ambassador's residence in Vienna
After the attacker - a 26-year-old Austrian and Vienna resident - stabbed him, he fired several shots. Soros added that the soldier, who is from the Tyrol region of Austria, has been treated in hospital.

Tim McGraw collapses during Ireland concert, reports say
Country music superstar Tim McGraw collapsed onstage Sunday night during a concert in Dublin, Ireland, leaving fans terrified. A representative for the star issued a statement saying McGraw was attended to by medical staff on site and would be fine.

Samsung has released an update for Galaxy
Kuo still believes that Android smartphone manufacturers now prefer face scanning over under display fingerprint readers. However, it is China's Vivo who has been able to make a phone with in-display fingerprint scanner first.

'Armed' PAOK owner invades pitch, confronts referee after late confusion
According to a report from MARCA , Savvidis went straight towards the referee to argue the disallowed goal. Olympiakos were also docked three points for fan violence during a 2-1 home loss to AEK last month.

NCAA's March Madness being played in shadow of scandal
Future NBA player Mike Daum averaged 25.1 ppg last year, and 23.8 ppg this year, and shot 42 percent on 3-pointers this season. The Tar Heels, the No. 2 seed in the West, will face No. 15 seed Lipscomb in Charlotte on Thursday despite losing 10 games.

Batshuayi grabs late winner for Dortmund over Eintracht
Kevin-Prince Boateng drew a smart save from Dortmund's Roman Burki after the break, and the visitors maintained the pressure. Timo Werner was booed on his return to his home-town club but couldn't ram the jeers back down the throats of the home fans.

Priya Prakash Varrier to Star Opposite Ranveer Singh in Simmba?
According to BollywoodLife.com, the buzz is that Priya might make her Bollywood debut opposite Ranveer Singh in the film. Though the role of the female lead is not that important, filmmaker Karan Johar is keen to take Priya Varrier on board.

Wolf Pack to face Texas in NCAA Tournament
History has shown us that when you are a No. 1 seed in the March Madness Tournament, you are guaranteed a win. UCLA averages 81.9 points per game, good for second in the Pac-12 and 28th in the country in scoring offense.

Packers trade Damarious Randall to Browns for QB DeShone Kizer
The Packers were reportedly interested in Kizer before the draft, which makes this trade all the more intuitive for them. They sent quarterback DeShone Kizer to the Green Bay Packers late in the day, according to NFL Network's Ian Rapoport .

Scientists put on alert for deadly new pathogen - 'Disease X'
The organization initially released the list of prioritized diseases in December 2015. The World Health Organisation (WHO) has issued a global alert for "Disease X".

San Antonio Spurs forward Kawhi Leonard could return this week
Leonard (quadriceps) hopes to return for Thursday's contest against New Orleans, Adrian Wojnarowski of ESPN reports. Leonard has missed all but nine games this season for a Spurs team that is fifth in the Western Conference at 37-28.

5 seed in NCAA tournament, will face New Mexico State on Friday
North Carolina has managed to topple nine teams in the RPI top 50, and has only fallen to two teams outside of that group in N.C. Lipscomb guard Michael Buckland of High Point during a game against Purdue on December 30.

Utd's Rashford not fazed by spell out of team
In the first half, the game gave us the opportunity to be direct, fast and score goals, more than we did. At the end, we could still get a point but the first half wasn't really good from us.

Enough is Enough! Hundreds of Israelis Demand Netanyahu's Resignation
Israel's Prime Minister Benjamin Netanyahu reportedly told cabinet ministers Sunday that there's now no "concrete USA peace plan" on the table.