1 July 2002 – E.ON today announced the completion of its deal to buy UK power group Powergen, following the agreement of regulators in the UK, Europe and the US.
The purchase gives E.ON a foothold in the US power market with Powergen owning LG&E Energy and consolidates E.ONs position as a major worldwide energy services company. In a statement, E.ON said that the Powergen acquisition had seen it enter one of the most important European electricity markets and obtained an attractive platform for further growth in the Midwest region of the US.
Powergen shares have been de-listed from the London and New York Stock markets as of last Friday. The final consideration for Powergen shareholders of 765p per share will be paid by E.ON within the next 14 days. The overall cost for all Powergen shares amount to approx. €8.1bn.
On completion of the deal, Ulrich Hartmann, CEO of E.ON, has been appointed as Chairman of the Board of Powergen. Deputy Chairman and Chief Executive Officer (CEO) of Powergen is now Ed Wallis.
New members of the Powergen Board have been appointed: Dr. Hans Michael Gaul, Member of the Board of Management of E.ON AG, Dr. Hans-Dieter Harig, Chairman of the Board of Management at E.ON Energie and Dr. Frank Elsässer, Member of the Board of Management at E.ON Energie. Michael Soehlke, Executive Vice President at E.ON, responsible for Corporate Planning and Controlling, is now Chief Financial Officer at Powergen.