The takeover of the RWE subsidiary innogy by industry colleague E.ON has finally been completed.
An agreement was signed with the Hungarian energy supplier MVM on the sale of innogy Ceska Republika and thus the entire Czech electricity and gas business in the end customer segment, said E.ON this weekend. No information has been given on the purchase price.
The transaction still has to be approved by the EU Commission. The group expects to conclude the transaction at the end of the year. innogy currently supplies 1.2 million gas customers and 0.4 million electricity customers in the Czech Republic. The transaction is the final step in connection with the commitments made by E.ON in connection with the antitrust approval of the innogy takeover.
For E.ON CEO Johannes Teyssen, the billion dollar deal agreed with the old rival RWE in March 2018 has historical dimensions, according to earlier statements. “Nothing comparable has happened in the last decades of German economic history,” he pointed out at the beginning of June. As soon as its last nuclear power plant is shut down, E.ON will say goodbye to electricity generation and concentrate on the construction and operation of energy networks and the sale of electricity and gas to around 50 million customers in 15 European countries.
RWE has taken over the renewable energies from E.ON and is also getting the wind farms and solar systems from innogy. This makes the lignite-based electricity generator one of the world’s largest producers of green electricity. The agreement has also made RWE the largest E.ON shareholder.