Germany's EnBW Sheds Stake in Austrian Energy Firm

Germany's EnBW has struck a deal to sell its 28.4% stake in Austrian energy group EVN to Vienna-based Wiener Stadtwerke, the companies reported on March 5, without disclosing details.

The transaction, which will be closed subject to approval from Austrian and German antitrust regulators, will see EnBW exit EVN on "financially attractive terms," EnBW said, adding that the sale is in line with its divestment plans as it reduces exposure to fossil fuels and increases its renewables business.

“We are glad that in Wiener Stadtwerke we’ve found a buyer with roots in the region and an interest to remain committed long-term,” EnBW CFO Thomas Kusterer said in a statement. “This forms a good basis for the future of EVN,” he said. 

Wiener Stadtwerke said the stake in EVN was "an attractive investment opportunity in a rock-solid Austrian company."

“We are pleased to be a shareholder in EVN going forward and are optimistic for the positive performance of our investment," its deputy CEO Peter Weinelt said.

EVN operates electricity, gas, water and communications networks, mostly in Lower Austria. The Lower Austria state has a 51% stake in the company, while its remaining shares are in private ownership.