EOn swaps to gain 100% of EOn Sverige
Germany's EOn group has undertaken a Eur4.4 billion ($6.2 billion) asset swap with Statkraft in order to take total ownership of its Swedish subsidiary, EOn Sverige.
Statkraft formerly held 44.6% share of EOn Sverige. It will transfer that to EOn in return for 934 MWe of EOn Sverige's hydropower generation; 1100 MWe of British and German generation assets; some Polish and Swedish district heating assets; a structured gas contract and 100 MWe virtual power plant contract in Germany.
Those assets make up around Eur2.0 billion ($2.8 billion) of the value of the swap - the remainder will be made up by giving Eur2.4 billion ($3.4 billion) in EOn shares to Statkraft. The value of Statkraft could be extrapolated to be Eur12.3 billion ($17.4 billion).
The deal means that EOn would have full control over EOn Sverige, whose nuclear power assets are 29.6% of the Ringhals plant, 9.8% of the Forsmark and 54.5% of Oskarshamn. EOn said thse nuclear assets make up 40% of the 6400MWe of generation it now owns in Sweden.
In addition EOn would now be able to bundle together its power trading businesses into one for all of Europe. The company plans to create a group-wide centre of excellence for hydro-power in Sweden.
The deal is set to be closed in the first half of 2008.
Further information
EOn
Statkraft
