November 25 (SeeNews) - Germany-based financial services company Allianz said on Friday it has reached an agreement with E.ON Romania to purchase 30% of its subsidiary E.ON Distributie Romania, an electricity and gas distribution network operator, for an undisclosed sum.
After the transaction, which is expected to be completed by the end of the year, E.ON will own 56.5% of E.ON Distributie Romania while the Romanian energy ministry will continue to hold the remaining 13.5% stake, Allianz said in a statement on its website.
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"Romania is a promising European growth market. With this investment we continue to substantially grow and further diversify our portfolio of high-quality infrastructure assets. It fits well with Allianz’s investment strategy as a long-term investor," said Christian Fingerle, Chief Investment Officer responsible for infrastructure investments at Allianz Capital Partners, part of Allianz Group.
E.ON Distributie Romania owns and operates a gas distribution pipeline system of over 20,000 km as well as an electricity distribution grid of over 80,000 km serving about 3 million customers in the northern part of the country. It is a core infrastructure asset in Romania operating under a well-established regulatory framework, Allianz said.