Cabinet yesterday’s dismissed speculations that Enel is looking for a reduction in the price of Slovenske elektrarne (SE) by 60%. Last year Enel won a tender for SE with a bid of EUR 840m, ahead of CEZ, which offered EUR 690m. Should Enel push for 60% reduction, CEZ would be the highest bidder and may be chosen as the winner. Should CEZ step back, we would view the acquisition negatively due to the excessive price paid.
Moody’s announced an upgrade rating of CEZ Finance with a stable outlook reaffirmed. The rating upgrade is associated with a change in rating methodology for corporate issuers in the EMEA region.
Other than that, according to Eurostat statistics on power prices published yesterday, Czech households pay EUR0.073 per kWh, which is the 19th highest among the 25 EU member states. The EU 25 average stands at EUR 0.105 per kilowatt hour. The household electricity price in the Czech Republic increased by 10.5% this year compared to 4.6% for the EU.