March 11, 2018 / 2:32 PM / 2 months ago

Factbox: RWE, E.ON rock energy sector with mega swap involving Innogy

ESSEN/DUESSELDORF (Reuters) - German energy groups E.ON (EONGn.DE) and RWE (RWEG.DE) on Sunday unveiled a major reshuffle of Germany’s energy sector that will see them divide the assets of RWE’s Innogy (IGY.DE) unit.

The complex transaction is made up of asset swaps, cash payments and new shares. It will turn RWE into Germany’s largest renewable energy group, and hand E.ON Innogy’s prized networks and retail business.

Below is an overview of the nuts and bolts of the deal, which still requires antitrust and supervisory board approval:

WHAT DOES E.ON GET?

- RWE’s 76.8 percent stake in Innogy

- Innogy’s 574,000 kilometer power and gas networks business as well as its European retail energy business with 23 million customers; E.ON already operates networks with a length of 1.1 million kilometers and has 22 million energy customers

- A 1.5 billion euro ($1.85 billion) cash payment from RWE

WHAT DOES RWE GET?

- Most of E.ON’s and all of Innogy’s renewable assets; E.ON has about 6 gigawatts (GW) of renewable assets, Innogy 3.7 GW

- A 16.67 percent stake in E.ON via a 20 percent capital increase, against a contribution in kind from existing authorized capital

- E.ON’s minority stakes in the Emsland (12.5 percent) and Gundremmingen (25 percent) nuclear plants that are already operated by RWE

- Innogy’s gas storage business

- A 49 percent stake in Austrian energy supplier Kelag [KELAG.UL] held by Innogy

WHAT DOES INNOGY GET?

- Its minority shareholders, which hold the remaining 23.2 percent, will get a 40-euros-per share, or 5.2 billion, offer from E.ON, a premium of 16 percent to Friday’s closing price

($1 = 0.8127 euros)

    Reporting by Christoph Steitz and Tom Kaeckenhoff; Editing by Douglas Busvine and Louise Heavens

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