A potential bidder is Brookfield, the investment group run by Mark Carney, who was Bank of England governor between 2013 and 2020. Uniper has a range of UK assets that are seen as valuable for any would-be purchaser.
The German government is reportedly making plans to sell major energy company Uniper in a deal that could be worth up to €18bn, according to a report from Reuters, quoting unnamed sources.
A potential buyer has been suggested as Canadian investment management company Brookfield. Former Bank of England governor Mark Carney is its chairman.
The plan to sell is seen as an attempt to privatise Uniper, which has been under German government ownership since Europe’s energy crisis began in 2022. The company was nationalised to protect Germany’s energy security after Russia invaded Ukraine and Russia’s Gazprom decreased and then halted all gas supplies to Uniper.
Uniper’s HQ is in Germany but it operates in more than 40 countries, including the UK, the Netherlands, Sweden, Belgium, the US, the UAE and Singapore. It trades energy, generates power, and also owns a number of gas storage facilities.
Brookfield, headquartered in Canada, has operations in more than 30 countries, including the US, UK, Australia, Brazil and France. It has assets and operations in property renewable power, infrastructure and other ventures.
Uniper has a current value of around €18.33bn.
The German government is attempting to sell part of its stake, around 25%, in a reverse initial public offering (IPO). A reverse initial public offering, or re-IPO, happens when a private company purchases a public company.
However, the German government is also reported to be considering selling its entire stake at once.
Euronews has contacted Uniper and Brookfield for comment.
Germany faces ongoing political woes
Uniper’s potential sale comes as Germany experiences rising political turmoil, with the country’s three-way coalition government recently collapsing. Germany’s lower house of parliament was also dissolved at the end of December, with snap elections being scheduled for February.
As such, it is still not clear what the new German government may plan to do with Uniper, leading to uncertainty about the timeline of a potential stake sale. EU regulations still require the German government to cut its stake in Uniper to no more than 25% plus one share by 2028.
Uniper also has extensive operations across the UK. Last week, according to a report in The Telegraph, Uniper’s Connah’s Quay plants were paid the equivalent of £2m an hour to help keep the UK’s energy up after the country was hit by an unusually cold spell and power interconnections with Europe failed.
Gas plants in the UK are still being paid significant amounts during the country’s cold spells. They are also key resources while the country tries to increase its renewable energy facilities. That means a company such as Uniper could be seen as presenting a lucrative opportunity for buyers.
