Utility company CEZ Group has agreed to acquire a 55.21% stake in GasNet, an operator of gas distribution networks in Czech Republic, in a deal valued at €846.5m ($924.24m).  

This move is expected to enhance CEZ's position in the Czech energy market, particularly in the transition towards more sustainable energy sources. 

GasNet manages a 65,000km gas pipeline network and commands an estimated 80% share of the Czech Republic's natural gas distribution.  

The company serves around 2.3 million points of consumption and distributes 66 terawatt-hours of gas annually.  

CEZ said this acquisition is a significant step in its commitment to the transformation of the Czech heat generation industry, steering away from coal-powered energy generation to natural gas and eventually hydrogen. 

CEZ chairman of the management board and CEO Daniel Benes said: “We have already acquired a significant capacity in two liquified gas terminals in Germany and the Netherlands, and this acquisition of the country’s largest gas distribution system operator will further strengthen our position within the gas market.  

“We are acquiring assets important for the transition of the Czech heat and power generation sector to hydrogen; while increasing the proportion of regulated business within our portfolio for the benefit of our shareholders.”  

Macquarie Asset Management, working on behalf of managed funds, is in charge of overseeing the stake that is being sold. 

The asset manager first initiated the sale of stake in the gas distributor in June 2023.  

The transaction's completion is contingent upon regulatory approvals from the European Commission and the Czech Ministry of Industry and Trade.