Enel eyes IPO of renewables unit as it hires bank advisers

City A.M. Reporter
, Eu

, Europe’s most indebted utility, has picked three banks to coordinate floating part of its renewable energy unit, sources said, a sign this is the group’s preferred sale route to help cut debt.

Italy’s largest utility aims to raise as much as €4bn (£3.33bn) from an initial public offering (IPO) of a minority stake in its Enel Green Power unit, in what could be the biggest European offering this year.

The company has pursued a dual-track process for selling the stake – planned for October – meaning that it could, in theory, turn back from the IPO at the last minute should a private sale offer a higher price.

Enel, over 30 per cent state-controlled, has lined up Credit Suisse, Goldman Sachs and Mediobanca as global coordinators for its plans to list its renewable unit, Enel Green Power.