E.ON signs contract for Electrica Moldova

German power company E.ON Energie, which is part of the E.ON utilities giant, signed the privatisation contract for power distribution company Electrica Moldova yesterday. The contract for the acquisition of 24.62% in Electrica Moldova, as well as for the capital contribution intended to increase the participation to 51%, was to be signed by Nicolae Coroiu, general manager of Electrica, representing the seller, and Walter Hohlefelder, a member of the board of E.ON Energie AG. Sources close to the deal say the German group will pay 28-32 million euros for the acquisition of the 24.62% stake, a sum that is to reach 95-102 million euros after the capital contribution. E.ON will also take on the debts incurred by Electrica Moldova. Moldova”s consumers will be transferred from the state into the hands of the privately owned German giant, which will provide all gas and electrical power in this area of Romania. Electrica SA owns 100% of Electrica Moldova stock, meaning the money from the privatisation will go to the budget of the power company. ZF