E.ON sells stake in Gazprom for £2.8bn

E.ON has sold its 3.5 per cent stake in the Russian gas monopoly Gazprom for €3.4bn (£2.8bn). The German energy giant, which is raising money to expand outside Europe, sold 2.7 per cent to the Russian state bank VEB and 0.8 per cent on the stock market. As its earnings in Europe drop due to a tax on its nuclear power plants in Germany and demand falls due to the economic crisis, E.ON is seeking to lower its €45bn debt burden and raise money to expand outside the continent.

The company plans to generate €15bn through divestments in the next three years.