German energy firm E.On has agreed to acquire rival Ovo, creating one of Britain's largest energy suppliers, the companies announced on Monday.
Deal Details
E.On stated that the acquisition of Ovo will add approximately four million customers to its existing 5.6 million customer base in the United Kingdom. The transaction is anticipated to be finalized in the second half of 2026, pending regulatory approval.
Executive Comments
Marc Spieker, chief operating officer commercial at E.On, commented: "The United Kingdom is an important growth market for E.On, particularly for flexibility and customer-focused energy solutions. The planned acquisition of Ovo strengthens our retail business and underlines our commitment to be the trusted partner of choice for our customers."
He added: "Energy flexibility and electrification are becoming increasingly important and are critical to the success of the energy transition. At E.On, we are passionate about developing solutions that enable customers across Europe to play an active role in making our energy systems both reliable and affordable."
Chris Norbury, CEO of E.ON UK, said: "For decades the UK energy system focused too much on those upstream. Now is our opportunity to change that. Solar, batteries, EVs and a retailer built to orchestrate. That is what this deal is about: customers in control and new energy that works for everyone."
Market Impact
The merger will create a formidable player in the UK energy retail market, combining E.On's established presence with Ovo's innovative approach. The combined entity is expected to serve around 9.6 million customers, making it one of the largest suppliers in the country.
Industry analysts suggest that the deal could lead to increased competition and potentially lower prices for consumers, as the new entity leverages economies of scale and advanced energy solutions.
