SSE 25% Disposal of Transmission Asset Seen as a Welcome Deal -- Market Talk
Dow Jones
Nov 25, 2022
1106 GMT - SSE executing the widely expected 25% disposal of its electricity transmission asset for GBP1.47 billion--with proceeds to go toward funding renewable growth--should be welcomed, Citi says. The energy company is unlikely to get the market overly excited on the back of the sale, however, Citi analyst Jenny Ping says in a research note. "We also see limited valuation read across to other network utilities in the U.K. that could stick, given the meaningfully different regulatory asset value growth outlook," the U.S. bank says. Citi retains its neutral rating and 1,664 pence price target on the stock. Shares are up 0.8% at 1,747.0 pence. (joseph.hoppe@wsj.com)
(END) Dow Jones Newswires
November 25, 2022 06:07 ET (11:07 GMT)
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