- The company’s preferred stock will be delisted today
- Shares converted at a 1:1 ratio without additional payment
- RWE thus in line with international capital market standards
RWE AG is finalising the conversion of its 39 million preferred shares to voting common shares. The transaction is being conducted at a 1:1 ratio without consideration. The company’s Annual General Meeting and Preferred Shareholders Meeting decided in favour of the conversion on 3 May 2019 based on a proposal of the Executive Board and the Supervisory Board.
The amendment to the Articles of Incorporation required to effect the conversion was entered into the Commercial Register of the company at the Essen District Court today. The preferred shares shall be delisted when trading closes on the stock markets. From 1 to 3 July, the depositary banks will reclassify their customers’ preferred shares in RWE to common shares. The number of RWE common shares will increase to 614.7 million as a result of the reduction to a single share class. Institutional investors hold the view that every share in a company should be assigned a vote, according to the ‘One Share – One Vote’ principle. RWE will meet this governance standard on completion of the conversion.