RWE has today (2 July) taken over the activities of innogy, marking the conclusion of its asset swap with E.On.
The German energy company sold its remaining stake in innogy to E.On as part of the deal, but has today integrated innogy's renewables and gas storage businesses into its own operations, with over 2,700 employees switching over.
“The new RWE has been completed," RWE’s CFO, Markus Krebber, said. "It is a new, bigger and more diverse company, with a clear goal.
“We have a wonderful starting point: a huge worldwide renewables portfolio, two teams that complement each other perfectly with many years of experience, and a strong investment programme," he continued.
Innogy's stake in the Austrian power utility Kelag has also been transferred today, which RWE said supplements the portfolio "perfectly" with its hydroelectric power business.
The swap - which was been in the works since 2018 and was approved in September 2019 by the European Commission- also saw RWE acquire E.On’s renewable energy activities in 2019.
RWE is aiming to be carbon neutral by 2040, and now is largely focused on power generation over its networks business, which has been transferred to E.On.
Meanwhile, E.On saw a sharp increase in its sales and earnings in Q1 2020 which it said was due to its takeover of innogy and npower, a marked improvement in light of the latter causing its net income to fall by 49% in its financial results for 2019.