E.ON plans to acquire UK energy supplier OVO as part of a strategy to expand its retail energy business and accelerate the rollout of flexible energy services linked to electric vehicles, home batteries and digital energy management.
The companies said the proposed transaction is intended to support the development of a more customer-focused and digitally managed energy system in the United Kingdom as electrification and decentralised energy generation continue to grow.
According to E.ON, the acquisition aligns with its broader effort to integrate technologies such as EV charging infrastructure, rooftop solar systems and residential battery storage into a flexible energy ecosystem.
The company described the move as a significant long-term investment in the UK energy market and part of its strategy for “reshaping the energy system around people.”
“For decades the UK energy system focused too much on those upstream. Now is our opportunity to change that,” said Chris Norbury, CEO of E.ON UK.
“Solar, batteries, EVs and a retailer built to orchestrate. That is what this deal is about: customers in control and new energy that works for everyone,” Norbury added.
E.ON said the larger combined customer base would help expand access to smart energy services while improving overall grid flexibility and resilience.
The company argued that the growing adoption of electric vehicles and distributed energy technologies is increasing demand for digital systems capable of balancing energy consumption and supply more efficiently.
The transaction also includes plans to continue OVO’s existing licensing agreement with Kaluza, a software platform used for customer billing, smart charging and flexible energy management services.
E.ON said it will evaluate whether Kaluza’s technology could be deployed more broadly across other parts of the wider E.ON Group outside the UK market.
The companies stated that there would be no immediate changes for customers while the acquisition undergoes regulatory review. Existing tariffs, contracts and services will remain unchanged until completion of the transaction.
The deal is subject to regulatory approval, which E.ON and OVO expect could be obtained during the second half of 2026. Until then, both companies will continue operating independently.