Energy utility E.ON SE (EOAN.XE) said Tuesday it has signed an agreement to sell a majority stake in one of its German regional energy suppliers to a consortium of municipalities in the center of the country.

Under the deal, E.ON will sell a 73.3% stake in its unit E.ON Mitte and receive cash proceeds of 610 million euros ($839 million). It added that it expects to close the sale shortly.

E.ON said last year that it would sell stakes in all but four regional energy suppliers across its home market, resulting in a series of asset disposals to municipalities and publicly owned utilities.
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