JP Morgan helps Dong weigh up oil and gas options

Dong said on October 26 that it is reviewing strategic options for its oil and gas business, and that JP Morgan would conduct a “preliminary market assessment”.

In its announcement, which Dong said it was issuing in response to media speculation about the future of the business, the company said it had not yet taken a decision to sell the unit, but that it was “not considered a long-term strategic commitment”.

The company said that since its June IPO it has been managing the oil and gas business for cash, and that cash would be reinvested in its renewable energy activities.

In Dong’s latest financial results, covering the first half of 2016, the oil and gas business posted revenues of DKK5.1 billion (about $ 748 million), down 13% year-on-year. The company’s oil and gas assets are in Denmark, Norway and the UK.

Dong listed on Nasdaq Copenhagen in June in a deal valued by data firm Dealogic at $ 3 billion, making it the second-largest IPO in Europe so far in 2016. JP Morgan, Morgan Stanley and Nordea Markets acted as joint global coordinators and joint bookrunners.

They were joined by Citigroup, Danske Bank and UBS as joint lead managers; ABG Sundal Collier, Rabobank and RBC Capital Markets as co-lead managers; and Lazard and Rothschild as financial advisers to Dong and the Danish government, respectively.

More from Investment Banking

Let’s block ads! (Why?)

Investment Banking – Financial News Online

You May Also Like

Leave a Reply

Your email address will not be published. Required fields are marked *