The valuation of power distributors to be acquired by CEZ should be completed by the end of March, the Cabinet decided (source: Czech Press Agency). After the valuations are completed, and the transaction prices disclosed, we will be fully able to assess the impact of the government’s power-sector restructuring on CEZ share value. Although there is a potential downside (e.g. if CEZ overpay for the distributors), the deal looks positive for CEZ.
(Jiri Soustruznik)