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NRG Energy opens +19% on plan to cut costs, target up to $4B in asset sales

Published 07/12/2017, 09:44 AM
© Reuters.  NRG Energy opens +19% on plan to cut costs, target up to $4B in asset sales
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  • NRG Energy (NRG +19.3%) opens at its highest level in nearly two years following news of its transformation plan aimed at cutting more than $1B in recurring costs and reducing debt by $13B over three years.
  • NRG says it will target $2.5B-$4B in asset sales, including 6K MW of its power generation and 50%-100% of its interest in NRG Yield (NYLD +0.9%) and the unit renewables business.
  • The findings are the result of a deal reached in February with activist investors Elliott Management and Bluescape Energy Partners to set up a five-member committee to review NRG's business; all stated objectives have transparent and achievable targets, says Elliott portfolio manager Jeff Rosenbaum.
  • Now read: NRG Yield (NYLD) Presents At Deutsche 2017 Clean Tech, Utilities & Power Conference - Slideshow


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