Hungarian company buys German E.ON’s local electricity distributor

State-owned energy company MVM on Thursday announced an agreement to acquire 100 percent of E.ON Aramszolgaltato, German-owned E.ON’s local electricity distributor for the regulated retail market. The transaction is expected to close in the spring of 2022.

The deal will affect close to 2.5 million customers in the west and east of Hungary. After the deal is closed, MVM will offer nationwide coverage for customers on both the regulated retail gas and electricity markets.

Meanwhile, the government and the Hungarian Chamber of Commerce and Industry (MKIK) have extended their cooperation agreement, the chamber said on Thursday. The chamber said the agreement was aimed at maintaining the growth of the Hungarian economy and the prosperity of Hungarian society.

The document states that the aim is to ensure that economic output remains 2-3 percentage points above the European Union average and that the country’s financial indicators should stay balanced, while keeping the investment rate above 25 percent.

They also agreed on the importance of a work-based society and maintaining close to full employment, as well as making steady improvements in economic competitiveness and productivity while expanding the knowledge-based society.