Log in
Forgot password ?
Become a member for free
Sign up
Sign up
Dynamic quotes 

MarketScreener Homepage  >  Equities  >  NASDAQ OMX HELSINKI LTD.  >  Fortum    FORTUM   FI0009007132


News SummaryMost relevantAll newsOfficial PublicationsSector newsAnalyst Recommendations

Uniper in exclusive talks to sell French business to Kretinsky's EPH

share with twitter share with LinkedIn share with facebook
share via e-mail
12/24/2018 | 07:09am EDT
A logo of German energy utility company Uniper SE

PARIS (Reuters) - Central European energy group EPH, majority owned by Czech billionaire investor Daniel Kretinsky, has entered exclusive negotiations to acquire all the French assets of German energy group Uniper, both companies said on Monday.

The companies did not disclose the value of the deal.

Uniper said it had received a unilateral binding offer from Energetický a průmyslový holding, a. s. (EPH), and had agreed to exclusive talks on the sale of its activities in France.

Its assets in France include two gas-fired power plants with a total capacity of 828 megawatts (MW), two coal power generation units with an installed capacity of 1,200 MW, a 150 MW biomass power plant and 100 MW of wind and solar resources.

Jan Špringl, vice-chairman of EPH's board, said in a statement that the group has entered a partnership with energy major Total to transfer Uniper's two gas-fired plants to Total once the transaction closes.

A Total spokeswoman confirmed that the company had signed an agreement with EPH to acquire, from Jan. 1, 2020, the two Uniper gas power plants as part of its low-carbon electricity strategy.

Total, which is expanding its foothold in the French electricity market, has said it plans to increase its power generation capacity to 10 gigawatts (GW) by 2023 from around 5 GW now.

Uniper, which also supplies gas and power to French residential and industrial clients, said its French business contributed low single-digit millions of euros to its 2017 income.

The French government plans to phase out coal power generation by 2022 as part of its plan to curb carbon emissions.

Uniper said in August it would have to review its business in France, which employs around 490 people, if the coal shutdown went ahead.

A person with direct knowledge of the matter told Reuters in September that Uniper had mandated investment bank Rothschild to explore a sale.

EPH and Czech peer Seven Energy have pursued a contrarian strategy of snapping up older, polluting power generation assets while major European utilities are focusing on renewable sources.

"Uniper France faces a special situation where the two coal-fired power plants, which are essential assets of the company both in terms of installed capacity and number of employees, have a limited life time based on the decision of the French government," Špringl said in the statement.

Špringl said the closure of the coal-power plants would require a reorganization and a new strategy, and privately-held EPH was ideally positioned for it.

EPH gave no further details of its plans for the coal-fired power plants.

If concluded, the Uniper deal would be Kretinsky's second major acquisition in France this year after his Czech Media Invest acquired a 49 percent stake in Le Nouveau Monde, the main shareholder of France's daily Le Monde in October.

Finland's Fortum became Uniper's largest investor in June after buying a 47 percent stake from E.ON for 3.8 billion euros. Fortum had sought a full takeover of Uniper but was rebuffed by Uniper's management.

($1 = 0.8776 euros)

(Reporting by Bate Felix; Additional reporting by Ludwig Burger in Frankfurt; Editing by Adrian Croft)

By Bate Felix

Stocks mentioned in the article
ChangeLast1st jan.
E.ON SE -1.30% 9.789 Delayed Quote.15.08%
FORTUM 0.11% 18.955 Delayed Quote.-0.86%
TOTAL -0.23% 49 Real-time Quote.6.36%
UNIPER SE 0.26% 26.61 Delayed Quote.17.70%
VALUE8 -0.36% 5.48 Delayed Quote.16.03%
share with twitter share with LinkedIn share with facebook
share via e-mail
Latest news on FORTUM
06/17FORTUM : has won the right to build 5.6 MW of CSA-supported solar capacity in Ru..
06/12FORTUM : Solar offers increasingly lower capex in Russias renewables auction
06/04FORTUM : and Skellefte Kraft Restructure Stakes in 2 Swedish Wind Farms
05/30FORTUM : and Nordkraft form JV for Norwegian wind power development
05/29FORTUM : and Skellefteå Kraft to restructure ownership in the Solberg and Blaike..
05/28FORTUM : and Nordkraft JV to Target Norwegian Wind Power Development
05/28FORTUM : appoints Anton Steen to lead Public Affairs in Sweden
05/27FORTUM : New heat pump unit for Fortum at Suomenoja the share of carbon-neutral ..
05/27UNIPER SE : - Further resignations from the Uniper Management Board
05/27FORTUM : New heat pump unit for Fortum at Suomenoja - the share of carbon-neutra..
More news
Financials (€)
Sales 2019 5 475 M
EBIT 2019 1 123 M
Net income 2019 1 097 M
Debt 2019 5 354 M
Yield 2019 5,81%
P/E ratio 2019 15,05
P/E ratio 2020 13,03
EV / Sales 2019 4,05x
EV / Sales 2020 3,87x
Capitalization 16 820 M
Duration : Period :
Fortum Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends FORTUM
Short TermMid-TermLong Term
Income Statement Evolution
Mean consensus HOLD
Number of Analysts 22
Average target price 20,7 €
Spread / Average Target 9,1%
EPS Revisions
Pekka Ilmari Lundmark President & Chief Executive Officer
Matti Juhani Lievonen Chairman
Markus Heikki Erdem Rauramo Chief Financial Officer
Kim Juhani Ignatius Director
Eva Gerd Alice Hamilton Independent Director
Sector and Competitors
1st jan.Capitalization (M$)
FORTUM-0.86%19 236
ENEL23.55%64 224
IBERDROLA27.53%61 823