Energy Ministry: MVM’s E.ON Romania Takeover Poses Security Risks

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The Ministry of Energy announced via a press release that it has notified the Commission for the Examination of Foreign Direct Investments (CEISD) regarding the transaction in which MVM Zrt. (Magyar Villamos Művek Zártkörűen Működő Részvénytársaság) (MVM Group), a Hungarian state-owned company, plans to acquire the gas and electricity supply division of E.ON Energie Romania.

“Romania is obligated to protect its sovereignty and strategic interests. We will not allow critical sectors, such as energy, to become vulnerable to geopolitical or economic maneuvers that violate our European principles of competition, transparency, and the single market. We will act decisively to safeguard Romania’s national security and the EU’s energy security, aiming to break free from Russian gas dependency once and for all. Energy blackmail must remain a sad memory of the past, and our future must be one of true energy independence. That is real sovereignty: to depend on no one, while others may depend on us. Romania’s energy resources must serve only Romanians!” – declared Sebastian Burduja, Minister of Energy.

Following a thorough analysis, the Ministry identified several issues requiring in-depth review related to the potential transaction’s impact on Romania’s national security.

Ties with the Russian Federation

MVM Zrt. maintains extensive commercial relations with Gazprom and Rosatom, Russian companies under international sanctions. Through these relationships, Hungary continues its high dependence on Russian natural gas and nuclear technology. Evidence indicates elements of “decisive influence, shadow control, influence by economic dependence, and effective control” within MVM Group and the entity involved in acquiring E.ON Energie Romania’s majority stake.

Risk of Subsequent Transfer of E.ON Energie Romania Shares to Non-EU Entities

The documentation provided by MVM reveals contractual structures and clauses enabling the potential future transfer of acquired shares to non-EU entities or other parties not initially involved in the transaction. This contractual vulnerability may indirectly transfer control to economic or political actors that do not adhere to EU energy and transparency standards.

Risks to Company Data and Personal Information

The Ministry flagged insufficient legal and contractual guarantees to protect E.ON Energie Romania’s corporate data and the personal data of over 3 million Romanian customers. Concerns include potential access by MVM’s other commercial partners, non-EU entities, or Russian-affiliated companies.

Transparency Issues Regarding the Buyer

Incomplete declarations and unclear origins of MVM’s funding for the acquisition raise questions about compliance with European anti-money laundering regulations and competition rules. The proposed transaction value also warrants closer scrutiny. Evidence suggests MVM’s commercial ties with Russian-controlled companies may indirectly capitalize the group with non-EU funds through favorable tariffs on goods and services.

Conflict with National Energy Strategies

MVM’s documented intentions to reduce natural gas consumption conflict with Romania’s Energy Strategy and the 2024-2028 Government Program, which prioritize expanding gas network access and utilizing domestic resources.

International Precedents

Comparable transactions, such as MVM’s attempted acquisition of train manufacturer Talgo in Spain, were rejected due to the group’s links to Russian entities and political influence from the Hungarian government. This case highlights a documented pattern of using strategic acquisitions to reinforce Russia’s geopolitical interests in EU member states.

The transaction also raises broader security concerns, with the potential to undermine Romania’s energy independence and strengthen external influences hostile to the EU.

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