EDF Energy bids for British Energy

Source: Energy Digital

Date :09/05/2008 11:13:27

EDF Energy is today expected to make a bid for British Energy, along with other European energy companies, who have until Friday to table a takeover offer.

EDF and its advisers, led by Merrill Lynch, were finalising details of an all-cash bid for the government’s 35 percent stake in the energy firm. British Energy owns eight nuclear reactors and surrounding land, which is likely to be used for the development of new nuclear power stations.

Potential bids

According to press reports, other likely bidders include Germany’s RWE and Spain’s Iberdrola. There has also been talk of a consortium bid from British Gas’ parent Centrica.

British Energy’s advisers set a deadline of today for the next round of preliminary offers, although they will still consider offers after the deadline.

The UK Government is hoping that the battle for British Energy will encourage the development of nuclear power stations, while the potential bidders hope to take advantage of the renewed interest.

British Energy Group Plc is the UK’s largest producer of electricity, generating around one sixth of the nation’s supply and employing a workforce of 6,000 skilled professionals.

May 09, 2008