Dong CEO seeks banks for IPO as Denmark turns to Rothschild

Copenhagen

THE chief executive officer of Dong Energy is looking for banks to guide him through an initial public offering (IPO) that may include the divestment of the company's oil unit. "We'll invite various advisers to deliver bids on how they will solve the task," Henrik Poulsen, 48, said on Monday.

Denmark, which holds 59 per cent of Dong, revealed its IPO road map for the utility on Friday. The sale, which may value Dong at 70 billion kroner (S$14.8 billion), is set to be the biggest in Denmark's history. Part of the plan will include a strategic review of Dong's Exploration and Production (E&P) business after the price of crude oil plunged 50 per cent over the past year. Dong's E&P unit booked an 8.1 billion-krone impairment loss in 2014.