Algonquin considers sale of Renewable Energy unit, CEO steps down (updated)

Algonquin Power & Utilities

10/08/2023 11:51

(Adds background in paragraph 2 to 5)
       Aug 10 (Reuters) - Canada's Algonquin Power & Utilities
 AQN.TO  said on Thursday it was considering a sale of its
Renewable Energy business and that its CEO Arun Banskota had
decided to step down, to be replaced by company insider
Christopher Huskilson.
    The decision comes months after the company initiated a
strategic review of the renewable energy division, following a
push for changes by Corvex Management and other activist firms.
    Algonquin had in January said it planned to raise $1 billion
through asset sales and would slash its dividend by 40% to
bolster the group's finances.
    The renewable energy group includes all of the company's
non-regulated operating and development power generation assets.
    Activist hedge fund Starboard Value last month also urged
the utility firm to sell a majority of its renewable assets to
reduce debt and improve earnings.
    Huskilson will take over as interim CEO with immediate
effect, and the company's board has commenced search for a
permanent chief executive, it said.

 (Reporting by Tanay Dhumal in Bengaluru; Editing by Milla
Nissi)
 ((Tanay.Dhumal@thomsonreuters.com; Twitter: https://twitter.com/TanayDhumal;))