TXU is expected next week to announce the sale of its eastern England electricity network to Electricité de France for more than £1bn ($1.43bn), the Financial Times reported.

Sales negotiations over Eastern Energy were boosted yesterday when Ofgem, Britain’s industry regulator, signalled it would not prevent mergers between regional electricity distribution networks provided they produced price cuts or other benefits for customers, the newspaper reported.

TXU, which bought Eastern Energy for £4.5bn ($6.5bn), wants to concentrate on growing its UK electricity retailing business as well as using the sales proceeds to expand in continental Europe, the FT said.