The consolidated interim financial statements were approved by the Board of Directors on 22 August 2016.
The Repower extraordinary general meeting (EGM) held on 21 June 2016 resolved to increase the company's capital by means of a rights issue to shareholders. The period for subscription to the new shares began on 24 June 2016 and lasted until 4 July 2016. Existing shareholders were allocated one subscription right per share held. Five subscription rights entitled the holder to subscribe to 7 new shares at a subscription price of CHF 43 per share.
The two existing main shareholders, Canton Graubünden and Axpo Holding AG, waived their subscription rights in favour of Elektrizitätswerke des Kantons Zürich (EKZ) and UBS Clean Energy Infrastructure Switzerland KGK (UBS-CEIS); these rights were allotted to the two new shareholders.
After the subscription period had closed, on 5 July 2016, and with an addendum dated 14 July 2016, the Board of Directors of Repower AG resolved to increase the company's capital from CHF 3,408,115, divided into 3,408,115 fully paid-up registered shares each with a nominal value of CHF 1.00, by issuing 3,982,853 new fully paid-up registered shares each with a nominal value of CHF 1.00, with the rights issue generating gross proceeds of CHF 171.3 million. The share capital now comes to CHF 7,390,968.
Following completion of the rights issue and the increase in capital the voting rights are as follows:
|Canton of Graubünden||21.96%|
|Axpo Holding AG, Baden||12.69%|
The four shareholders with major interests are bound by a shareholders' agreement.
The registered bonds (“Namensschuldverschreibungen”) totalling EUR 35 million (running to 2025) and EUR 84 million (to 2034) recognised under non-current financial liabilities at 30 June 2016 contain clauses pertaining to change of control. With the new investors joining on 5 July 2016, creditors have made use of their right of termination. Repayment of registered bonds totalling EUR 116.5 million was demanded; this was repaid by the time the interim consolidated financial statements were approved by the Board of Directors.
On 22 July 2016 Repower sold its interest in the subsidiary Repower Furnizare România S.r.l. The assets and liabilities of the company (disposal group) are classified as held for sale on the balance sheet date. Closing is anticipated in October 2016.
The Federal Electricity Commission (ElCom) has issued a partial ruling with respect of Repower’s 2009 and 2010 energy tariffs. The partial ruling ascertains that Repower did not charge improper electricity tariffs in 2009 and 2010. However, there are differences between the calculation methods used by ElCom and Repower. Particularly at issue is whether or not the power plants, interests and long-term contracts that Repower has always allocated for its domestic and international trading activities have to be included in the calculation of basic supply tariffs. In March 2015 Repower therefore decided to lodge an objection with the Federal Administrative Court. Since a parallel ElCom dispute with another utility was pending with the Federal Court, the proceedings before the Federal Administrative Court were adjourned in November 2015. In July 2016 the Federal Court ruled on the parallel case. The Federal Administrative Court can therefore be expected to cancel the adjournment and resume proceedings in the coming months. Depending on the outcome of the proceedings it is possible that a legally enforceable ruling may have implications for Repower’s future earnings.
Since 30 June 2016 there have been no other events which require disclosure.