Fortum said on Monday that Fortum, Uniper and the German state had signed the final terms of the contract. The final implementation of the stability package required the approval of the EU Commission.
The EU Commission conditionally approved the nationalization of the German energy company Uniper on Tuesday.
The sale of energy company Fortum’s Uniper holding progressed on Monday, when Uniper’s extraordinary general meeting approved the stabilization package for the company. Fortum said on Monday that Fortum, Uniper and the German state had signed the final terms of the contract.
The final implementation of the stabilization package required the approval of the EU Commission. Fortum has estimated that the stabilization package will be completed by the end of this year.
On Tuesday, the Commission also gave the green light to the nationalization of the German subsidiary of the Russian gas giant Gazprom in order to save the gas supplier from bankruptcy.
At the extraordinary general meeting, it was decided to increase Uniper’s share capital, and according to Fortum, the German state subscribes to all newly issued shares at EUR 1.70 per share.
After the share capital increase, the German state will buy all Uniper shares owned by Fortum for approximately EUR 500 million. Uniper will also pay back the four billion euro shareholder loan to Fortum, and the parent company guarantee of four billion euros granted by Fortum to Uniper will be released. Three billion euros of the guarantee will be released by the end of the year, and the remaining approximately one billion euros by the end of June 2023 at the latest.
As a whole, however, Fortum will lose billions from the ownership of Uniper, as it invested approximately seven billion euros of equity in the German company over the years.