Founded in 1969 by guitarist Frank Bornemann, the band has endured several line-up changes, with Bornemann being the only consistent member of the group. In the 1980s, after a series of major splits in the group, Bornemann pursued a more commercial direction. However, in later years, former members of the band re-joined, and in 1998 released the album Ocean 2, a return to the classic symphonic progressive rock genre for which the band was well known.

Although Eloy was a German rock band that debuted during the same time period as the introduction of krautrock, they are not a part of that music scene. Initially a hard rock band with blues rock influences, Eloy subsequently shifted into a different sound, which has been classified as progressive rock, symphonic rock and space rock.