Powerful combination

Powerful combination - Fortum intends to become a major shareholder in Uniper

  • Fortum Corporation and E.ON SE have signed a transaction agreement under which E.ON has the right to decide to tender its 46.65% shareholding in Uniper SE into the public takeover offer in early 2018 for the same consideration as offered to all shareholders
  • Fortum to launch voluntary public takeover offer to all Uniper shareholders
  • Cash offer to Uniper shareholders (including E.ON) with total value of EUR 22 per share
    • The total value implies a premium of 36% to the price prior to intense market speculation on a potential transaction at the end of May
    • The total equity value of E.ON's 46.65%-stake amounts to EUR 3.76 billion, total equity value of the Offer corresponds to EUR 8.05 billion for all outstanding shares of Uniper
    • No minimum acceptance threshold
  • The offer will be subject to competition and regulatory approvals
  • The investment in Uniper delivers on Fortum's previously announced capital redeployment strategy and investment criteria
  • Fortum and Uniper have the strategic mix of assets and expertise required to successfully drive Europe’s transition from conventional to cleaner and more secure energy
  • Fortum will focus on being an active, supportive and reliable shareholder of Uniper and a constructive strategic partner to the company, its management and employees following the completion of the Offer and provided that E.ON decides to tender its stake
 

Strategic rationale

 

The investment in Uniper delivers on Fortum's previously announced capital redeployment strategy and investment criteria. Uniper's businesses are well aligned with Fortum's core competencies, are close to Fortum's home markets and are highly cash generative. We expect the investment to deliver an attractive return that will support the company in accelerating the development and implementation of sustainable energy technologies, without sacrificing a competitive dividend.

We are investing in a strong, successful company with a diversified portfolio. Fortum is absolutely committed to work for a cleaner Europe. To make this vision a reality we must also provide customers with a secure energy supply at a competitive price during the transition towards lower emissions. Conventional energy, especially gas, can respond to the increasing intermittent renewable production, providing the flexibility needed to ensure supply in geographies where sufficient hydropower resources are not available.
 
 

Fortum CEO Pekka Lundmark explains agreement regarding E.ON’s stake in Uniper

 

10/12/2017