It is the main distributor of energy to industry and households in Germany. Such measures, which are the greatest in Germany's history in terms of energy investment, are being taken because of the suspension of gas supplies from Russia. This act has thrown Europe's largest economy into chaos. Uniper was already under pressure and had to ask the KfW bank for help.

Since the beginning of the year until September, Uniper reported a loss of 40 billion euros, of which ten billion euros was due to the shut-off of Russian gas taps. If Russia continues with the energy shutdown, the losses will accompany Uniper until the end of 2024. According to the Ministry of Economics, all risks have been considered and taken, and the losses are said to be covered by gains from financial instruments. Uniper, like other energy companies, uses derivatives in its sales to hedge against future energy price fluctuations. Company is therefore acting as a trader, although without any regulations, which rose an interest of the European Parliament officials. Germany has previously announced its interest in buying the company, the shareholder meeting about the bailout is scheduled for December 19, 2022, the expected purchase price is 51 billion euros ($54 billion).

Movement of Uniper SE in the last five years. (Source: CNBC)

Sources:

https://www.investing.com/news/stock-market-news/germany-set-to-assume-230-billion-in-uniper-derivatives-2966889

https://www.cnbc.com/2022/12/16/eu-clears-germanys-planned-takeover-of-gas-giant-uniper.html

https://www.cnbc.com/quotes/0RJ4-GB