Regulator backs Gas Natural takeover of Endesa

9th November 2005, Comments 0 comments

9 November 2005, MADRID — The Spanish energy regulator approved the hostile takeover of energy giant Endesa by its rival Gas Natural.

9 November 2005

MADRID — The Spanish energy regulator approved the hostile takeover of energy giant Endesa by its rival Gas Natural.

But the regulator imposed ten conditions on Gas Natural after approving the offer by five votes to three.

The conditions include a restriction on dividend payments from the new company until it has sufficient resources to meet its investment and debt obligations.

Gas Natural will also have to sell assets worth at least EUR 8.2 billion.

In a statement, Gas Natural said it respected the conditions and does not believe that they will impede the takeover from going forward.

The European Commission is due to rule on the jurisdiction for the deal on 15 November.

Endesa had fiercely opposed the takeover bid.

[Copyright EFE with Expatica]

Subject: Spanish news

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