E.ON sued Electrica in July 2011, claiming the state-owned company refuses to sell the remaining shares in Electrica Moldova, which E.ON took over. Electrica replied saying it can only sell a 17% stake, since the remaining 10% of shares are reserved for employees.
Contacted by MEDIAFAX, E.ON representatives confirmed there is an ongoing procedure in the Court of Arbitrage, but no further comments were made.
The privatization contract for Electrica Moldova states a mutual sale-purchase option for the stake held by Electrica. The option can be exercised between 2008 and 2012, by any of the two companies.
E.ON exercised the option in 2010, and in 2011 it reiterated the proposition. Electrica declined the group’s offer, considering the price is too small.
Under the same litigation, Electrica sued E.ON in August 2011, claiming the German group breached some of the provisions in the privatization contract.
Provisions claimed to be breached refer to the business plan assumed by E.ON after privatization. As such, Electrica said it has suffered a loss of some EUR50 million, calculated by a consultancy company hired by the state-owned power distributor.
People close to the matter said E.ON achieved a turnover and profit below the figures assumed in the privatization contract, thus lowering the company’s market value and dividend distributed to shareholders. E.ON Romania has not distributed dividends since the privatization of Electrica Moldova.
The compensation claimed by Electrica is the equivalent of half of the price paid by E.ON for Electrica Moldova and the share capital increase through which it has taken over control of the branch, namely EUR100.8 million.
Electrica Moldova was divided into two companies in 2007, E.ON Moldova Distributie and E.ON Moldova Furnizare. In 2010, E.ON Moldova Furnizare merged with E.ON Gaz Romania, creating E.ON Energie Romania.
E.ON Energie Romania is 51% owned by E.ON Romania SRL, the Economy Ministry holds 31.82%, Electrica – 3.78%, and Fondul Proprietatea (FP.RO) holds 13.4%.
E.ON Romania holds 51% in E.ON Moldova Distributie. Electrica holds 27% (13.5 million shares) and iar Fondul Proprietatea (FP.RO) holds 22%.