|
RWE to nab $8.7B Thames?
|
 |
September 23, 2000: 10:00 a.m. ET
Reports: German utility set to unveil purchase of UK water co for cash, debt
|
LONDON (CNNfn) - RWE AG, a German provider of power and other utility services, is expected to become the water supplier for millions of Londoners Monday, unveiling the purchase of the U.K.'s Thames Water PLC in a recommended offer worth about £6 billion ($8.7 billion) in cash and assumed debt, media reports said Saturday.
Thames, Britain's largest water utility with more than 12 million customers, said Wednesday it was in advanced talks with an unnamed party about a possible recommended offer.
The Financial Times newspaper reported Saturday that bankers for the companies had agreed the main details of a takeover, which will see Essen-based RWE (FRWE) pay £4.3 billion in cash and take on £1.8 billion of debt.
The deal would not meet any objections from the U.K.'s water industry regulator because RWE does not own any other water businesses in Britain, the report said.
Buying Thames (TW-) would set the German company on the road to rivaling its larger French counterparts Vivendi Environnement and Suez Lyonnaise des Eaux as a Europe-wide player in the utility markets, the FT said. 
|
|
|
|
|
|
RWE
Thames Water
|
Note: Pages will open in a new browser window
External sites are not endorsed by CNNmoney
|
|
|
|
 |
|
