Uniper: Elliott calls for vote on Fortum influence
(CercleFinance.com) - Activist shareholder Elliott called on German energy group Uniper to hold an extraordinary general meeting (EGM) to prepare a "lawful domination agreement" with the company's largest shareholder, Fortum.
In a statement, Elliott said the "ill-defined" relationship between Uniper and Finland's Fortum has created an "unsatisfactory and unsustainable dynamic", which is detrimental to Uniper.
In Elliott's view, a status quo - meaning operational underperformance and pervasive uncertainty - will risk further undermining the company's fundamental value.
Elliott believes a shareholder vote to advance a domination agreement may resolve the uncertainty and clarify the relationship with Fortum, thus creating value for shareholders.
At the end of 2018, Fortum held 49.99% of Uniper shares and voting rights. Meanwhile, Elliott did not disclose its stake in the group.
After this announcement, Uniper shares were up 2.1% in Frankfurt.
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