Increasing Stake in Amprion Is Strategically Sound for RWE
Under a large asset swap with E.ON in 2020, RWE exchanged its retail and networks businesses for a 15% stake in E.ON and its renewables assets. Consequently, RWE became the second-largest global offshore wind player. With the acquisition of Consolidated Edison's clean-energy business in 2023, RWE became one of the largest renewables firms in the US. About 70% of RWE’s EBITDA will come from wind and solar from 2027 onward. This means a derisked profile with more earnings visibility. However, amid mounting investor skepticism about the space, RWE announced a EUR 1.5 billion share buyback program in November 2024 and slashed its 2025-30 investment plan by 25% in March 2025. In March 2026, RWE rolled over its investment plan. While keeping the total amount of EUR 35 billion unchanged, it raised the medium-term EPS guidance and increased US investments to capitalize on high growth in electricity demand, thereby supporting power purchase agreement prices.
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