Elliott Investment Management has renewed its push to get SSE Plc to split off its renewables business into a separate unit, a move the activist investor says would create 5 billion pounds ($6.6 billion) of value.
In a letter sent to SSE Chairman John Manzoni, Elliott said the company had failed to provide a convincing explanation for why it’s not pursuing a listing for its renewables division, according to a statement. Elliott, a top five investor in the utility, said SSE is missing out on value and urged the company to provide a “detailed and credible plan” to address its concerns.
SSE made clear at a strategy announcement last month that it would not be breaking itself up, saying such a move would lead to 95 million pounds a year of lost value. The firm announced a dividend cut from 2024 to fund a 12.5 billion-pound increase in spending for net-zero infrastructure over the next five years.
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