BUDAPEST--Hungary is "minutes" away from buying out the local business of German energy group E.ON AG (EONGY), Prime Minister Viktor Orban said at a weekend event.

The German utility has significant interests in Hungary, including power plants, electricity and natural gas services and is also Hungary's natural gas wholesaler.

Mr. Orban said the move is in line with the government's strategy of taking key industrial sectors into state control after becoming the majority owner of Budapest-based energy group MOL Nyrt. (MOL.BU) and machinery manufacturer Raba Nyrt, since coming to office in 2010.

Neither E.ON nor a government spokesperson was immediately available for comment on the announcement or to provide additional details.

Write to Gergo Racz at gergo.racz@dowjones.com