Apr 09, 2009 | Amsterdam Ministry of Economic Affairs agrees to Nuon unbundling plan
The approval of the unbundling plan that n.v. Nuon submitted in October 2008 was received yesterday from the Ministry of Economic Affairs. This means that the company can go ahead this summer with the legal unbundling into a network company (Alliander) and a production and supply company (Nuon). This legal unbundling is in compliance with the Dutch Independent Network Operations Act (Won) and the Decree on the Financial management of Network Operations, which state the network company must have at least 40% shareholders’ equity on the date of unbundling.
Two independent, financially sound companies will arise as a result of the unbundling. The support base of the network company Alliander is confirmed by a solid A rating (S&P), A2 (Moody's). Nuon Power Generation b.v., part of the production and supply company Nuon remains, with a BBB+ rating (S&P) and A3 Credit Watch negative (Moody's), in a position to continue making the necessary investments in (sustainable) production capacity.
The unbundling plan describes how the two companies will give shape to the financial unbundling. The guiding principle is the creation of two financially sound companies with a balanced financing structure. This takes into account the fact that the network company operates in a regulated environment and the production and supply company operates in a free market. The chosen financing structure in the unbundling plan responds to the long-term investment needs of the two companies.
About Nuon
Nuon is an ambitious energy company, serving more than three million consumers and organisations with over 10,000 employees in the Netherlands, Belgium and Germany. Nuon produces, transports and delivers electricity, gas, heating and cooling, and engages in energy trading in the major international markets. Nuon also supplies additional services and technological innovations to businesses and consumers. In doing so, Nuon aims to provide a reliable, sustainable and affordable energy supply.
With a turnover of EUR 6.1 billion in 2008, Nuon occupies a prominent position in the Dutch energy market. The shares are held by local and regional authorities.
Effective 1 July 2008, Nuon was split into a network company and a production and supply company. The two companies now operate independently under a financial holding company and a joint Board of Directors and Supervisory Board.