Eon shareholders give go ahead to Uniper spinoff

Eon shareholders have approved the completion of the spinoff of its conventional power generation and energy trading activities into newly formed company Uniper.

Plans to transfer a majority stake in the new company to Eon shareholders were given the green light by investors owning almost 100 per cent of Eon’s share capital at the annual general meeting in Essen.

Uniper and Eon have effectively been operationally independent since Uniper came into being at the beginning of this year. The split will leave Eon free to focus on its “three core businesses: energy networks, customer solutions and renewables”.

Following the vote, a 53.5 per cent stake in Uniper will be transferred to Eon shareholders, with Eon itself retaining the remaining shares. Investors will automatically receive one Uniper share for every 10 Eon shares they own.

The spinoff won’t take effect until it is entered into the commercial register in Germany, which is expected to happen in the second half of 2016.

“I’m pleased by this clear result. The high approval rate is proof that our shareholders have faith in the strategic course set by the management board and the supervisory board,” said Eon chief executive Johannes Teyssen.

Describing it as the “largest transaction of Europe’s recent industrial history”, Teyssen said the separation would create “nothing less than a new Eon – a company fully dedicated to the energy future.”

Last month Eon reported an increase in first quarter profits despite a fall in revenues.