The German government has signed a framework agreement on the planned takeover of Uniper, the country's largest gas supplier, by the state amid the energy crisis, the Ministry for Economic Affairs and Climate Action (BMWK) said.
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"With the signing of the framework agreement, another important milestone for the stabilization of Uniper has been reached," Uniper Chief Executive Officer Klaus-Dieter Maubach said in a statement.
Germany will acquire a majority stake of just under 100 percent in Uniper with a capital increase of 8 billion euros (8.5 billion U.S. dollars). The rescue package that also includes additional authorized capital of 25 billion euros was already announced in September.
The company "operates critical energy infrastructure in Germany and plays a key role in the supply of gas and electricity," the BMWK said in a statement, stressing that Uniper was a "central pillar of energy supply."
Shares of the previous majority shareholder, Finland's state-owned Fortum, will be acquired for 500 million euros. Fortum as well as the remaining shareholders approved the acquisition on Monday. Final approval by the European Commission is expected in the next few days.
Uniper has been hit hard by soaring gas prices amid the energy crisis. To save the company from insolvency, the German government already acquired a 30 percent stake in the struggling utility back in late July.
Environmental groups are calling for Uniper to move away from gas, coal and nuclear power. "Uniper's fossil fuel business model has failed," Sascha Mueller-Kraenner of Environmental Action Germany (DUH) said in a statement on Monday.
The utility plans to operate its approximately 22.5 gigawatts of installed power generation capacity in Europe CO2-neutrally by 2035. With the German government as the new owner, Uniper would "help establish a sustainable energy supply," the company said.
Europe's largest economy is seeking to become climate neutral by 2045. To this end, 80 percent of the country's gross electricity consumptions are to come from renewable sources by 2030. ■