E.ON to Sell US Power and Gas Business to PPL

29 April 2010 (Last Updated April 29th, 2010 18:30)

E.ON is to sell its power and gas business in the US to PPL Corporation in Allentown, Pennsylvania, for $7.6bn. With this disposal, E.ON said it is already ahead of its target to realise at least €10bn from the divestment of assets by the end of 2010. The transaction is

E.ON is to sell its power and gas business in the US to PPL Corporation in Allentown, Pennsylvania, for $7.6bn.

With this disposal, E.ON said it is already ahead of its target to realise at least €10bn from the divestment of assets by the end of 2010.

The transaction is subject to the approval of US cartel and regulatory bodies, and closing is expected by the end of 2010.

E.ON said the deal technically reduces the adjusted EBIT by around €400m and adjusted net income by approximately €260m, but has no effect on net income attributable to shareholders.