CHN, which is headquartered in Lower Gornal, provides heating services to major blue chip builders, local authorities and housing associations across the region. 

The company, which has six offices across the Midlands and which employs 430 people, will become part of E.ON's Energy Services division.

Don Leiper, managing director of Energy Services, said: "This is a great deal for us as we look to expand our business and to acquire a rapidly growing company with talented and experienced employees.

The deal forms a key part of E.ON's strategy to expand its home installation service, with the aim being to have a national network of field staff delivering central heating products to housing associations and local authorities.