Dutch utility sale approved by shareholders

18th June 2009, Comments 0 comments

Takeover by Swedish firm Vattenfall will create one of Europe's largest energy companies.

The Hague – Shareholders in Dutch utility Nuon approved on Wednesday an EUR 8.5 billion friendly takeover by Swedish power company Vattenfall, Nuon said.

"A large majority of more than 90 percent of shareholders voted today to sell their shares" to Vattenfall, Nuon spokeswoman Mandy Ros told AFP.

The EU is due to rule on the deal, which will create one of Europe's largest energy companies, later this month.

Vattenfall makes 80 percent of its sales in Sweden, Germany and Poland and produces 46 percent of its electricity from fossil fuels, 26 percent from nuclear power, 24 percent from hydroelectric power and one percent from wind.

In 2008, Vattenfall posted a net profit of SEK 17.1 billion (EUR 1.5 billion), down from 19.8 billion a year earlier, on sales of SEK 164.5 billion.

Nuon, which counts more than 10,000 employees across the Netherlands, Belgium and Germany, reported sales of EUR 6.1 billion in 2008.

It is the second Dutch energy group to be bought up by a foreign firm since Germany's RWE moved to acquire Essent for EUR 9.3 billion.

AFP / Expatica

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