UPDATED: Ørsted shares fell heavily on the Copenhagen Stock Exchange on Monday morning after the company announced a share issue worth around 60 billion kroner. The share is trading at the opening price of around 237 on Monday, which is 23 percent lower than at the close of trading on Friday.
It is also the first time since the former Dong Energy was listed on the stock exchange in 2016 that the share has been down around the then listing price of 235. Ørsted is forced to ask shareholders for more money because the company is facing major investments in the coming years.
The expectation was that part of the financing would be obtained by selling off ownership interests in the Sunrise Wind offshore wind farm, which is being built off the US coast.
But the Trump administration has created so much uncertainty about renewable energy in the US that this has not been successful.
Head of Equity Research Jacob Pedersen from Sydbank believes that it is expected that the stock market will react negatively to Ørsted now having to leave with its hat in hand.
- Ørsted has scaled back their strategy and investment plans a couple of times. Now it turns out that there is no money in the coffers for the plans that Ørsted has made, and that is of course a sign of crisis, which, however, is primarily due to the bottom in the American market, says Jacob Pedersen.
He still sees good opportunities in developing offshore wind in Europe, which Ørsted has done successfully for many years.
- The European offshore wind business still looks exciting, and therefore I can understand that Ørsted management is looking in that direction. But it is difficult to see how Ørsted can outperform in the coming years. It will be a long haul that will take a few years. And apparently there are some investors who do not have the patience to wait for that, says the analyst.
/ritzau/
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