The German government will take a 30% stake in Uniper, the country’s largest importer of Russian gas, as part of a multibillion-euro bailout in the face of gas shortages, the company said on Friday.

“You’ll never walk alone,” German Chancellor Olaf Scholz said at a press conference announcing the move, adding that Uniper was of paramount importance to the energy supply of German citizens and companies.

The utility has been hit hard by the reduction in gas supplies from Russia through the Nord Stream 1 pipeline. To fulfil its contracts, the company has resorted to buying more expensive gas on the open market, which has led to major liquidity problems.

The bailout provides for a capital increase of around €267 million ($271 million) at an issue price of €1.70 per share, excluding shareholders’ subscription rights, Uniper said.

The capital increase means that the German government is taking a 30% stake in Uniper. A so-called mandatory convertible – a security that automatically converts to shares by a predetermined date – of up to €7.7 billion euros is to be issued to the government.

The credit facility granted to Uniper via state-owned development bank KfW is to be increased from €2 billion to €9 billion euros, the company said. Earlier this month, Uniper said it had depleted the credit line and asked for it to be extended.

The German government agreed on a mechanism to pass on 90% of replacement costs as a result of the reduction in Russian gas to Uniper’s clients on October 1. Uniper has only commercial customers, including municipal utilities.

According to the agreement, the German government is ready to provide further support if the losses due to replacement purchases that cannot be compensated by operating profits from other business areas exceed €7 billion euros.

The stabilization measures are, among other things, subject to approval by the European Commission under state aid law. Uniper will convene an extraordinary general meeting to obtain shareholder approval for the bailout.

Scholz also announced during the press conference that private households suffering from the knock-on effects of price increases would receive financial support from the state.

There would be a major reform of the housing allowance at the beginning of next year that will include an expansion of the number of people entitled to it, he said.

At the end of 2020, roughly 618,200 households in Germany received housing allowance, according to the latest data from statistical authorities.