- RWE Nears Deal Closing With Aabar Investment, Wiwo Reported
- RWE Says Company in Talks With Potential Arabic Investor
RWE AG jumped the most in almost seven years after a report that an Arabic investor is close to investing in the nation’s second biggest utility.
Shares in the Essen-based company climbed as much as 12 percent, the most since November 2008. Aabar Investment from Abu Dhabi might consider investing in a stake in the German utility or in its projects, German newspaper Wirtschaftswoche reported on Thursday. The negotiations are near completion, the newspaper said. Vera Buecker, an RWE spokeswoman, confirmed talks with a potential Arabic partner is ongoing, declining to provide further details.
The utility has been in negotiations to sell a 10 percent stake in the company to an Abu Dhabi investor since last year, people with direct knowledge of the matter said in March.
RWE jumped to as high as 12.13 euros and traded at 11.90 euros at 2:35 p.m. in Frankfurt. They’ve lost 53 percent this year, underperforming a 4.6 percent gain in the nation’s benchmark DAX Stock Index.
Shares in RWE as well as in EON SE, its larger competitor, jumped earlier Thursday after Germany’s deputy economy minister Rainer Baake said media reports this week on atomic provisions are “irresponsible.” The articles raised concerns that both companies’ provisions for their nuclear decommissioning may be insufficient.
EON rose as much as 7.8 percent, the most since Sept 2011.