Shares in International Power rise on bid speculation
As we covered yesterday, strong rumours that GDF Suez has approached UK power giant International Power about a potential takeover has seen shares in International Power rise by 9% this morning. While there has been no official confirmation from either company about potential talks about an offer, informed sources believe that informal talks have taken place and International Power may well be open to discussions about a potential takeover.
While no price has been mentioned as yet, shares in International Power touched a 15 month high of £3.51 in early trade. As we mentioned yesterday, a potential takeover of another UK utility company would be highly embarrassing for the UK government especially after Lord Mandelson made a passionate plea for the protection of UK companies from overseas predators. So how will the government react if a bid was forthcoming?
While there is no doubt that the UK government has the right, through the Competition Commission, to potentially block any bid for any UK company which was anti-competitive or against the security of the nation, would there be enough grounds to block a potential takeover of International Power?
Many analysts believe the UK government would have very little grounds to potentially block a takeover bid for the company unless new legislation was introduced to the mix. Will the UK government go down the lines of the French authorities who have given French utilities immunity from takeovers?
Share this..
Related stories
Mortgage debt market showing signs of life
Over the last few days it has become apparent that transaction numbers in the UK mortgage debt market have increased significantly. Indeed a number of investors who have acquired large mortgage debt portfolios, often for well below their face value, have now stepped forward with discount offers if customers remortgage their homes with new lenders. So how does this work? If you for example you p...
Read MoreWhat Is Happening In The UK Treasury Department?
The Treasury has not just been a vital component of government it has been THE department around which everything else rotates. Budgets, spending plans and taxes are all inter-linked with the Treasury and the position of Chancellor of the Exchequer has always been one of the most powerful positions in the land. So why has the department lost its way? What is going on?
After the re...
28% of over 55’s cannot afford to retire
01/11/2014 28% of over 55’s do not believe they will ever be able to afford to retire, research from Key Retirement, the independent retirement specialists, shows. The nationwide study showed that more than one in four over 55’s who are currently working fear running out of money in retirement, and believe they will never fully be able to give up work. 19% of people are planning to work...
Read MoreNew measures to stop carousel fraud
Changes to the UK's tax system have come into force in an effort to clamp down on VAT fraudsters.From today onwards retailers selling mobile phones and computer chips will pay the associated VAT directly to HM Revenue and Customs, as opposed to the supplier as usually occurs.The new "reverse charge" scheme, is designed to help prevent missing trader intra-community fraud (MTIC), otherwise known as...
Read MoreSheffield council launch new loan service
10/08/2015 In a bid to combat the payday loan industry, the city of Sheffield will be offering a range of loans for poor residents. The new loan provider will be called Sheffield Money and will be regulated by the financial services industry and backed by the city council. It has been created to combat the short term, high interest payday loan companies such as Provident Financial, Brightho...
Read More