German Energy Company E.ON SE signed an agreement with Hungarian electricity group MVM, regarding the sale of innogy SE’s entire electricity and gas retail business in the Czech Republic.
The transaction is subject to the approval of the European Commission and is expected to close before year-end. innogy is currently supplying 1.2 million gas customers and 0.4 million electricity customers in the Czech Republic.
This transaction marks the final step in the fulfilment of the remedies offered by E.ON in the context of the antitrust approval of E.ON’s takeover of innogy. E.ON has previously entered into agreements for the sale of a significant part of E.ON’s German heating electricity business, part of E.ON’s electricity retail business in Hungary and regarding the discontinuation of the construction and operation of a number of electric-vehicle charging stations on motorways in Germany.
The acquisition is fully in line with the MVM Group’s regional expansion strategy to make the company a leading energy player in the Central and Eastern European region.
“We are especially proud that MVM has become the new owner of the Czech Republic,” commented MVM CEO, György Kóbor. “We are delighted to be able to enter the really exciting Czech market as an energy supplier with this landmark transaction. […] We believe that this transaction will further increase competition in the Czech market, which will ultimately benefit Czech customers.”