Con Edison to sell its Clean Energy Businesses to RWE Renewables
Consolidated Edison is selling its subsidiary, Con Edison Clean Energy Businesses, to RWE Renewables Americas in a deal valued at $6.8 billion.
The transaction is expected to close in the first half of 2023, subject to meeting all conditions. RWE Renewables is a subsidiary of German multinational energy company RWE AG, with locations throughout the U.S., Europe, and the Asia-Pacific region.
Because of this deal, Con Edison now intends to forego its previously announced plan to issue up to $850 million of common equity in 2022. Further, it withdraws its equity guidance for 2023 and 2024.
“The transaction we announced today will allow Con Edison to sharply focus on our core utility businesses and the investments needed to lead New York’s ambitious clean energy transition,” Timothy Cawley, chairman and CEO of Con Edison, said. “RWE, in turn, is well positioned to accelerate the growth of renewable energy across the United States.”
The New York-based Con Edison continues to make investments in clean energy transmission projects, building electrification, energy efficiency, electric vehicle infrastructure, battery storage and other technologies.
“We will continue to advocate for state approval of utility-owned renewable generation for the benefit of our customers and all New Yorkers. We remain confident in New York, and in our ability to meet the needs of the clean energy future, while maintaining a safe, cost-effective system that delivers world class reliability for our customers,” Cawley added.
