Innogy Hits the Market with Largest IPO in Germany in Last 16 Years

Business & Finance

RWE’s recently set up daughter company innogy today entered the Frankfurt Stock Exchange as the largest IPO in Germany in the last 16 years with the placement price set at EUR 36 per innogy SE share at the top end of the price range.

Image: innogy

A total of approximately 555.6 million shares were put to the trade market, with the total volume of the issue of around EUR 5 billion, making it the the largest IPO this year. According to some reports, this also marks the largest initial public offering (IPO) in Germany since the chip maker Infineon from more than 16 years ago.

Hauke Stars, Member of the Board of Cash Market, Pre-IPO & Growth Financing of Deutsche Börse, said: “With innogy SE, we welcome the largest IPO of the year at the Frankfurt Stock Exchange.”

The price range was initially set between EUR 32 to 36. At the maximum price, agreed by the Board of Innogy SE and the Management Board of RWE, with the approval from the Supervisory Boards of the companies, innogy reaches a total value of EUR 20 billion and is now one of the most valuable German energy companies.

RWE’s Supervisory Board approved the restructuring and setting up of the new subsidiary in December 2015. Innogy SE comprises RWE’s renewables, grid and retail operations in Germany and abroad, while RWE AG is focusing on conventional electricity generation and energy trading.

RWE will retain 75% stake in innogy.