Stockholm - German energy giant E. ON AG Thursday said it is has completed an agreement with Norwegian power group Statkraft to take full ownership of Swedish subsidiary E. ON Sverige.

The agreement signed Thursday in Stockholm sees E. ON take over Statkraft's 44.6 per cent stake in E. ON Sverige worth 4.4 billion euros (6.9 billion dollars) as well as a hydropower plant.

Statkraft was in return to acquire E. ON AG shares worth some 2.18 billion euros as well as assets in Sweden, Germany and Britain including hydropower plants, district heating plants and gas-fired power plants.

The ownership transfer was due to be completed by the end of 2008 and hinged on approval from competition authorites, E. ON said in a statement.

"With this agreement, we will gain a strong platform for growth and investment in the Nordic region, and are gaining full freedom of strategic and entrepreneurial action," E. ON Chief Executive Wulf Bernotat said.

Bernotat said the deal "will create two strong and experienced competitors in the Nordic market, with E. ON remaining number two in Sweden and Statkraft growing to fourth position." (dpa)