Fortum pays €2.3B to lift stake in Uniper to 70.5%

Tuesday, 08. October 2019 09:30

Fortum Corp. agreed with Elliott Management Corp. and Knight Vinke Energy Advisors Ltd. to purchase shares they own in German power generation and energy trading company Uniper SE. The announcement published on Tuesday reveals the Finnish utility would acquire just over 20.5% and that it would control above 70.5% of the target entity in a transaction worth €2.3 billion or €29.93 per share.

The investment follows a long process, completed with the European Union's green light for Fortum to buy a minority part of E.ON's former subsidiary. The state-owned corporation based in Espoo near Helsinki said it will have paid €6.2 billion in total pending regulatory clearance in Russia and the United States, expected by the end of March.

It added it is pursuing "a strategic and operational alignment" and ruled out "domination and/or profit and loss transfer agreement or squeeze-out" in the next two years.

Related Links: Uniper SEFortum Oyj
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