Brussels, 28/12/2005 (Agence Europe) - The European Commission has approved the planned acquisition by the Swedish electricity incumbent Vattenfall of certain assets, mainly power plants, of Danish energy companies Elsam and Energi E2. Vattenfall is the Swedish State-owned electricity incumbent which has also important activities in Finland, Germany and Poland. Elsam and Energi E2 are the largest electricity producers in West and East Denmark, respectively. The acquired assets generate a turnover of more than 250 million euros and their acquisition thus has a Community dimension. The transaction is linked to the acquisition of Elsam and Energi E2 by the Danish gas incumbent DONG which is currently being examined by the Commission in a separate in-depth investigation. The two operations are the outcome of a share-asset deal by which Vattenfall swaps its shareholding in Elsam and its stake in an Energi E2-operated power plant against power generation assets of Elsam and Energi E2. Subject to approval of both transactions, Vattenfall will operate the acquired power plants and wind mills and thereby enter the electricity markets in both western and eastern Denmark. These two markets are currently not directly interconnected. The Commission analysed the potential impact of the concentration on electricity markets in various countries, in particular whether Vattenfall, due to its significant presence in Denmark, Sweden and Germany, would have the ability and incentive to influence prices at the Nordic power exchange NordPool. However, the investigation showed that Vattenfall's market power would not be significantly changed by the operation.