The deal builds on a rescue package agreed in July, when Berlin took 30% of the company, and includes a capital injection of €8bn (around £7bn) of government money. Uniper was controlled by Finnish state energy company Fortum, which welcomed the announcement. It said Berlin would buy its shares for 500 million euros, giving the state a 98.5 percent stake in the gas company. Fortum CEO Markus Rauramo said: “Under the current conditions in the European energy markets and recognizing the seriousness of Uniper’s situation, the divestment of Uniper is the right step, not only for Uniper but also for Fortum. “The role of natural gas in Europe has changed fundamentally since Russia attacked Ukraine, as has the prospect of a heavy gas portfolio. As a result, the business case for an integrated group is no longer viable.” He said Uniper’s losses caused by Russia’s curtailment of gas supplies to European countries supporting Ukraine reached nearly 8.5 billion euros. Missing deliveries from Russia had to be replaced with expensive supplies from the open market, where gas prices have risen sharply. Uniper, which also owns the Ratcliffe-on-Soar power station in Nottinghamshire, posted a total loss of £12bn in August and has seen its share price collapse by 90% in the past year. Europe depends on natural gas to heat homes and generate electricity for power plants, raising fears of business closures, rationing and recession as the weather turns cold. Countries across the continent have scrambled to deal with rising gas and electricity prices, help households and businesses and secure their energy supplies for the winter, including filling up their natural gas storage. Subscribe to Business Today Get ready for the business day – we’ll point you to all the business news and analysis you need every morning Privacy Notice: Newsletters may contain information about charities, online advertising and content sponsored by external parties. For more information, see our Privacy Policy. We use Google reCaptcha to protect our website and Google’s Privacy Policy and Terms of Service apply. Last week, Germany also took control of three Russian oil refineries ahead of an embargo on Russian oil coming into effect next year.
