The state-owned energy giant Electricite de France (EdF) has expanded its presence in the UK by buying the power utility Seeboard for �1.5bn ($2.1bn).

The company was bought by EdF's British arm, London Electricity Group, which beat three other bidders to buy Seeboard from its American owners AEP.

Seeboard sells electricity and gas to about 1.9 million customers in the UK, who are mainly located in south east England.

As well as owning London Electricity Group, EdF also owns Sweb (the former south western electricity board) and the power distribution business once owned by Eastern Electricity.

"Seeboard is an excellent strategic fit with the group's other business activities," London Electricity Group's group chief executive Vincent de Rivaz in a statement.

Influence spreads

The addition of Seeboard's accounts will mean EdF now has more than five million customers in the UK.

The French group's rapid expansion into power markets across Europe has not been without controversy.

Governments and other firms have been angered by the difficulties experienced by those trying to gain a foothold in the French electricity market.

Critics have also claimed that because EdF is a state-owned firm it has been able to pay more for acquisitions than other companies are able to.

Job losses?

A spokesman for London Electricity said it was too early to know if there would be any job losses among the 4,000 Seeboard staff.

"We see this as very much a merger and bringing skills together," he said.

" We have a good track record of not resorting to compulsory redundancies and we fully intend to maintain that."