E.ON Agrees to Acquire OVO Energy in UK Energy Market Deal

ON has agreed to acquire OVO Energy, a move that will create one of Britain's largest energy suppliers once completed. The value of the transaction was not disclosed. The takeover is subject to regulatory approval, which both companies expect to secure during the second half of 2026.

Until the approval process is completed, both suppliers will continue operating independently. The agreement includes OVO’s retail customer base and all employees supporting those customers. OVO will also sell its Home Services division, which provides boiler servicing and insurance products, to Hometree under a separate regulatory approval process.

OVO said the sale followed a review of its strategic options.

ON would provide the strongest long-term platform for the business and its customers. The supplier added that becoming part of a larger energy group would support continued investment in products and services designed to help households manage energy consumption and adopt low-carbon technology.

ON said the combined business would help accelerate the transition towards a more flexible and digitally focused energy system. The company stated that as the UK energy system evolves, flexibility will be central to keeping costs down and improving resilience.

ON said it would continue using the existing energy intelligence platform licence agreement for OVO customers. ON operations outside the UK.

OVO founder Stephen Fitzpatrick said the sale reflected major changes across the energy industry since the company was established 16 years ago. A company statement noted that energy retail is now more regulated, more capital intensive and increasingly dependent on long-term investment and scale.

OVO chair Jayne-Anne Gadhia said the company had spent almost two decades operating as a challenger brand within the energy market. Chief executive Chris Houghton said changing market conditions had made scale increasingly important for suppliers navigating the energy transition.

ON and Hometree to ensure a smooth transition for customers and staff following completion of both transactions.