ČEZ split imminent: subsidiary to be formed within weeks

If shareholders approve the split of the ČEZ energy group today, a subsidiary will be established within weeks, with ČEZ transferring part of the group to it at the beginning of 2027. ČEZ spokesperson Ladislav Kříž told Czech Television (ČT). The possible carve-out of the group's non-generation business into a new company will be discussed at ČEZ's general meeting today. According to analysts, the proposed split is the first step towards the planned nationalisation of the company, which the current government intends to pursue.

"If shareholders approve the move today, a new subsidiary will be established within several weeks. Initially, it will be a so-called empty shell; companies from the customer-facing segment will be transferred into it by the end of the first quarter of next year," Kříž told the broadcaster.

ČEZ management presented the proposal to establish a new subsidiary in April. It plans to carve out energy sales and distribution, trading and energy services from the current structure. This would include ČEZ Prodej, ČEZ Distribuce, GasNet, ČEZ ESCO, trading companies and telecommunications company Telco Pro Services. Under the proposal, the company would retain a controlling 51% stake in the new subsidiary. It would offer the remaining stake to investors.

After six hours of its general meeting today, ČEZ shareholders approved the company's financial statements for last year. The approval was preceded by a debate in which minority shareholders asked, among other things, about lithium mining and management's approach to the windfall tax. The general meeting at the Prague Congress Centre is attended by 480 shareholders representing 75.22% of shares with a total value of more than CZK 40 billion.

ČEZ is among the largest energy companies in the Czech Republic. The state is the majority shareholder, holding around 70% of shares through the Ministry of Finance. ČEZ earned CZK 14.5 billion in the first quarter of this year. The group's net profit thus rose 13% year on year.