Back in January 2014, we reported that Goldman’s merchant banking unit rushed to buy an 18% in Denmark’s DONG Energy (that would be Danish Oil Natural Gas) company for $1.5 billion. The result was an immediate grassroots resistance campaign, as hundreds of thousands of Danes refused to hand over their DONG to the vampire squid for various reasons, not the least of which was granting Goldman veto rights over changes to DONG’s leadership and strategy, a right usually reserved for buyers of 33% of an entity. A bigger reason for the Danish anger at the Goldman DONG deal, was that as The Local reported a few months later, the sale “did not include a massive deal that both parties knew was imminent, shortchanging the company’s value by as much as 20 billion kroner.”
Which was to be expected: as we further said in January 2014, “if Goldman is involved, it guarantees future benefits for the Vampire Squid”. Sure enough:
Denmark lost out on billions of kroner when it sold partial ownership of Dong Energy to American investment firm Goldman Sachs in January 2014, Politiken reported Wednesday.
When the Danish government sold an 18 percent stake of Dong to Goldman Sachs, the Finance Ministry calculated the company’s value at 31.5 billion kroner ($4.6 billion).
But just three months later, Dong was granted the rights to instal a massive offshore wind park supported by the United Kingdom. According to Politiken, that deal shot Dong’s value up to over 50 billion kroner but was not calculated into the Goldman Sachs sale despite both Dong and the investment firm being fully aware of it.
Politiken also reports that the looming deal was common knowledge throughout the wind industry.
As a result, the locals were less than delighted to learn the details of yet another Goldman pillaging