Iberdrola Values Its Branch In 25,000 Million Before Opening At The Stock Market

The Aeolian division of the power group, that prepares its opening in the park, realizes an internal valuation superior in a 20% to the initial forecast of the experts, after integrating the business of the wind of Scottish Power. These numbers locate today Iberdrola in the front of the ascents of the Ibex.

The operation that communicated Iberdrola last week to the National Commission of the Values Market (CNMV), by which transferred to its branch Iberdrola Renovables (Iberdrola Renewables) the business of Aeolian energy of Scottish Power, is not a simple internal transference of assets.

It is a bracket between a 20% and a 25% more discharge than the first estimations that the analysts did, months ago, when the operation was announced. The process by which it has been arrived at this valuation is relatively simple and has followed independent and objective methodology, according to sources of the financial market.

In order to create Renovable, Iberdrola – the greater Spanish power group in stock market, with a value superior to 52,000 million has gone agglutinating in this society the assets of generation of renewable energy that it had dispersed in other societies. The last incorporation has been, past week: Scottish Power Renewable Energy, that contributed to Renovable with 2,100 megavatios (MW), of installed capacity, from which more than 1,740 MW are in the United States and 360 MW in the United Kingdom.

Iberdrola resorted to Ernst & Young to value Scottish Power Renewable Energy. The value was considered in about 4,780 million Euros, according to financial sources. The extension of capital of Renovables that has compensated the contribution of these assets has been of around 20%. That is to say, if Scottish Power Renewable is worth about 5,000 million, and these assets suppose a fifth part of Renovables, is deduced that the value of the entire group, at least in internal terms, is near 25,000 million. This number supposes half almost than it is worth at the moment Iberdrola.

Renovables it is already completing details to be able of release before the end of year. Foreseeable, and if the anticipated calendar is fulfilled, they will make it at the end of November or start of December, following the agility in the bureaucratic procedures, along with the presentation of an informative pamphlet.

Iberdrola plans top out in the market, through a public subscription offer (OPS), 20% of Renovables, located at the top in this market, even more tan Florida Power. Due to the values, the opening of Renovables at the stock market will be the greatest in Spain this year, more tan Criteria, holding from La Caixa., with 20,000 million holdings.

An Moving Electric Business

-6.800 mW and growing.
Iberdrola Renovables is going to group all the assets of electric generations by means of renewables, wind energy most of all. The company has a power superior to 6.800 mW with Project for 40,000 more.

-Investing Phases.
Iberdrola is designing a public offer for the 20% of Renovables. Stocks will be sold in different phases, According to what Ignacio Sánchez Galán, president of Iberdrola said, they need to get as much investors, they are also planning incentives for current stock holders from Iberdrola. Thanks to the sharing of assets from Scottish Power, Iberdrola Renovables turned into the leader in wind energy, way beyond Florida Power that had less than 5,000 at the end of the year.

-Months setting it up.
Analysts didn’t stop making calculations about the value of the company, taking as reference previous examples. The nearest example is Spain, the positioning of EDF-EN, the branch of renewable of French group EDF. Some of the first Renewable valuations of Iberdrola located their price in about 17,000 million, according to Citigroup.