Italian utility ACEA (OTCPK:ACEJF) said Tuesday it approved a binding offer from Eni's (NYSE:E) Plenitude retail and renewables business to acquire its ACEA Energia energy retail arm in a deal worth €588.

Italian energy group Eni has sold a 20% stake in its retail and renewables business Plenitude to U.S. alternative investment manager Ares Management Corp for about 2 billion euros ($2.3 billion), it said on Monday.

Ares Management Alternative Credit funds, affiliates of the alternative investment manager Ares Management, have agreed with Eni to acquire a 20% interest in Eni’s subsidiary, Plenitude, for €2bn ($2.