SSE hands Elliott some logical blowback

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SSE has told Paul Singer where to go. The $24 billion UK utility on Wednesday set out plans to invest 12.5 billion pounds to 2026 and more than treble renewable energy capacity to 13 gigawatts by 2031. About 3 billion pounds will come from selling a 25% stake in its networks arm. That’s well short of the full split that Singer, who runs activist investor Elliott Management, appears to be pushing for .

to invest 12.5 billion pounds to 2026 and more than treble renewable energy capacity to 13 gigawatts by 2031. About 3 billion pounds will come from selling a 25% stake in its networks arm. That’s well short of the full split that Singer, who runs activist investor Elliott Management, appears to be pushing for .

Elliott thinks SSE shares, which dipped 5% to 15.79 pounds on Wednesday morning, are worth less than the sum of the company’s parts. Yet SSE’s key role in enabling the United Kingdom to meet its target for generating 40 gigawatts from wind power by 2030 makes a split politically tricky. The company also reckons it would mean 95 million pounds of additional annual costs.

 

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