Nationalised energy company Uniper is working on its return to the stock market trading floor. Although the utility rescued by the Federal Republic in 2022 is still listed, the federal government holds over 99% of the shares.

In order to exit state ownership, a complete new Initial Public Offering (IPO) process will have to be completed. This requires a number of steps which are now in place, as CFO Jutta Dönges explains in an interview with Börsen-Zeitung: „In my opinion, nothing is missing anymore – with one restriction, but that is not within Uniper's sphere.“

This restriction is more of a formality. It's about the ability to pay dividends, which is currently excluded under the Energy Security Act. „In a re-IPO, a distribution policy which can be credibly communicated to investors, is an absolutely essential component,“ says Dönges.

Uniper, on a stand-alone basis, i.e. without the federal government behind it, still lacks an investment grade rating. However, Standard & Poor’s (S&P) and Scope have already upped their standalone ratings, placing less reliance on state support. Uniper is once again ready for the capital markets, as the extension and increase of the revolving credit line recently showed.

„Implicit help obviously plays a role at the beginning of the process. But if you look at the goal and the duration, it is clear that Uniper will ultimately stand on its own two feet,“ says Eddy Henning, Board Member for Corporate Customers at ING Germany. His company coordinated the syndicated credit line, which is linked to sustainability criteria.

According to Dönges, it is not necessary to have an investment grade rating as the company gradually returns to the stock market. „From Uniper’s perspective, the first exit step could be carried out in the current rating composition," he says.

Ultimately, however, it is the federal government that will decide on the schedule and path taken. The only certain thing is that, according to EU requirements, participation must be reduced to a blocking minority by 2028. „As a listed company with a corresponding free float, this (the re-IPO) is the way to get fresh capital,“ says Dönges, promoting Uniper’s preferred exit variant.

Another aspect that has an impact on capital market viability was the recent arbitration ruling in favour of Uniper in the dispute with Gazprom of Russia. „This means that any risks from the long-term contracts no longer need be taken into account,“ explains Dönges.