Siemens Energy is one of the key companies for the German energy transformation. Its problems result from losses incurred by its subsidiary, which has problems with the quality of wind turbines – reports “Deutsche Welle”.
The problems are so great that Siemens Energy has started negotiations with the government regarding a guarantee of the amount. The talks concern approximately EUR 15 billion. The stock exchange reacted sharply to this information. Let us add that it was first reported by the media and only later confirmed by the company.
German media report that the shares of the energy giant listed in the DAX stock index fell by almost 40% in one day. Thus, 24 hours were enough for the company to lose over EUR 3 billion in value.
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What will the German government do regarding the energy giant?
“The situation is dramatic because without aid worth billions of euros, a company from the DAX index can barely sign contracts for new large orders. Siemens has an order portfolio of EUR 110 billion,” writes the “Sueddeutsche Zeitung” newspaper on Friday.
“Deutsche Welle” adds that the government spokesman in Berlin assured that “Siemens Energy is an important company for the energy transformation and the attractiveness of Germany as a place to do business.”
At the same time, the media report that the German government is not willing to provide guarantees. He claims that the burden of rescuing the company should be borne primarily by the parent company Siemens. On yet another note, German journalists remind that the government has already connected the “financial drip” to another company – Uniper, which suffered as a result of the suspension of gas supplies from Russia after the outbreak of the war in Ukraine.
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2023-10-27 14:40:51
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