Prysmian shines with stake sale in Yofc and ESG win - Sep 1, 2025

As of September 1, today’s news sees developments in the cable sector, particularly involving Prysmian, and global trends in energy. Prysmian, through its fully owned subsidiary Draka, announced its agreement to sell approximately 5% of its stake in Yangtze Optical Fibre and Cable Joint Stock Limited Company (Yofc) for 45.25 Hong Kong dollars per share, translating to around 1.7 billion Hong Kong dollars (approximately 186 million euros). This move involves the placement of 37,595,255 H shares to a limited number of institutional investors. Upon completion of the Placement, Draka, which as at the date of this announcement holds approximately 10% of the Company's total share capital, will reduce its stake to a percentage of approximately 5% in the Company's total share capital. Additionally, as of 21 August 2025, Prysmian achieved the highest score in the S&P Global Corporate Sustainability Assessment (CSA) for the Electrical Components & Equipment category, with a total score of 85 out of 100, reflecting significant progress in sustainability efforts. Turning to the markets, NKT has secured a service agreement with TenneT for high-voltage cable systems. Furthermore, ChatGPT parent OpenAI is scouting local partners to set up a data center in India with at least 1 gigawatt capacity, Bloomberg News reported, citing unidentified sources. Meanwhile, copper prices reached their highest level in over a month, bolstered by positive manufacturing data from China and a weaker dollar. In energy news, Equinor expressed support for Orsted’s plans to raise capital amid challenges in the U.S. offshore wind sector, where materials and regulatory issues have hampered major projects. Orsted has called for a rights issue to strengthen its financial standing, and Equinor, which holds a stake in Orsted, will contribute new funding, recognizing the need for strategic collaboration in the evolving energy landscape. In the broader macroeconomic context, India's Ashok Leyland is set to invest over 50 billion rupees (around 571 million dollars) in electric vehicle battery production, partnering with Chinese company CALB. On the international stage, presidents Xi Jinping of China and Vladimir Putin of Russia articulated their vision for a new global order at a summit aimed at strengthening ties among non-Western nations. Their discussions underscored a desire for more equitable international relations, directly challenging existing U.S.-led frameworks, although detailed policy proposals were notably absent. Meanwhile, European Union countries are considering a 10-year delay to the introduction of EU-wide taxes on aviation and shipping fuels as they seek to push long-delayed energy tax reforms over the line, a draft document seen by Reuters showed.