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Spanish company Iberdrola (OTCPK:IBDRY) (OTCPK:IBDSF) is planning to make a bid for Electricity North West that could value the UK’s energy distribution network at up to £3.5 billion (~$4.34 billion ), Reuters reported on Friday.
Private equity firms Macquarie and KKR could also consider offers by ENWL, according to the reportwho said deliberations are at an early stage.
ENWL shareholders are said to be working with investment bank Jefferies on a strategic review of the network operator, which supplies electricity to ~5 million customers in Manchester, Lancashire and Cumbria.
An acquisition of ENWL could help Iberdrola (OTCPK:IBDRY) (OTCPK:IBDSF) connect areas it already serves through its Scottish Power business, which supplies power to 3.6 million customers.
ENWL is owned by a consortium led by the Japanese Kansai Electric Power (KEP) and the investment fund Equitix, both owners of 40% of the shares.
