Interest for RWE’s DEA Increases As Deadline for Bid Approaches

A growing interest for RWE’s oil and gas unit DEA became crystal clear in the last hours, with a frenzy of stories about different consortiums ready to put forward their bids. RWE is asking potential buyers to submit bids by late December.

“A Fridman-led consortium is preparing to hand in a bid for DEA by the Christmas deadline,” one source told Reuters, referring to the Russian billionaire Mikhail Fridman. 

Fridman quit as TNK-BP’s chief executive in May. After the sale of TNK-BP to Russia’s Rosneft, he is believed to have funds to carry out significant investments in energy assets. 

Germany’s RWE is intentioned to sell its oil and gas unit DEA for 5 billion euros, with a first phase of the negotiations expected to be concluded by the end of the year. Other potential buyers are Wintershall, KKR, Blackstone and Centrica. 

The Hamburg-based utility holds 190 licences in 14 countries, with 1,375 employees worldwide. Last year it register an operating profit close to €690 million.