“After the company split”

The fate of utilities RWE and E.ON is still unclear after each split their business, writes Helmut Bünder in an opinion piece for Frankfurter Allgemeine Zeitung. How they will fare in the future depends in part on German energy policy decisions and market regulation. When E.ON announced its decision to split it was rated at almost 30 billion euros, yet today E.ON and its spin-off Uniper together are worth only around half that, Bünder writes, adding that “optimism at competitor RWE after the successful stock market debut of subsidiary innogy has also evaporated.” Investors were sobered by a disappointing profit forecast, Bünder says.

For background, read the CLEW factsheets RWE’s plans for new renewable subsidiary and E.ON shareholders ratify energy giant's split.