Danish utility and offshore wind developer DONG Energy has announced it will launch an Initial Public Offering (IPO) of its shares on Nasdaq Copenhagen. The partially state-owned company said the IPO could be launched for a listing in summer 2016, barring unforeseen circumstances and subject to prevailing market conditions.
The majority shareholder, the Kingdom of Denmark, will sell part of its current shareholding in the IPO, but will still maintain a 50.1 per cent shareholding in DONG Energy after the IPO. The company expects to sell at least 15 per cent of the existing shares in the company to the current shareholders of DONG Energy. No new share capital will be issued in the IPO.
The Company is currently owned by the Kingdom of Denmark (58.8 per cent), New Energy Investment (indirectly owned by entities under the control of The Goldman Sachs Group, Inc.) (17.9 per cent), SEAS-NVE Holding A/S (10.8 per cent), ATP (4.9 per cent) and other shareholders (7.6 per cent).
Thomas Thune Andersen, DONG Energy’s chairman said: “Today’s announcement marks an important step in DONG Energy’s strategic journey. In just a decade, DONG Energy has transformed from being a regional utility business and one of the most coal-intensive utilities in Europe into a global leader in renewable energy. We look forward to inviting new shareholders to take part in the future ownership of the Company and to join us in our journey to build a sustainable energy system for the future”.
Claus Hjort Frederiksen, Denmark’s finance minister said: “We are proud of DONG Energy’s development in renewable energy and its contribution to a sustainable future. The Company has grown from primarily being a Danish utility business to become an international company with many activities outside of Denmark. The IPO has the support of a broad majority in Parliament, and we look forward to follow the Company’s continued journey as a listed company”.
The announcement came as the company said it had raised over €524m in a senior bond tender round set to close on Tuesday. The company had listed a series of notes maturing at different stages over the next six years and is expected to formally confirm the bond deals by the end of the week.
“The information provided in this announcement does not change Dong Energy’s previous financial guidance for the 2016 financial year,” it said.
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