Iberdrola declines to comment on takeover rumours

31 January 2008

MADRID – The Spanish utility Iberdrola on Wednesday declined to comment on reports that Electricite de France and the Spanish construction company Actividades de Construccion y Servicios (ACS) were considering a joint bid for Iberdrola.

"We do not comment on market rumours," an Iberdrola source said.

The ACS sent a note to the Spanish market watchdog CNMV, saying it had not reached any agreement with Electricite de France concerning Iberdrola.

Industry Minister Joan Clos said he was not aware of any contacts between the Spanish and French governments over a possible bid, and that the Spanish government did not intervene in share negotiations between companies.

The British newspaper Financial Times said earlier Wednesday that ACS and Electricity de France had held preliminary talks about a joint bid for Iberdrola.

Iberdrola shares went up 5.5 percent to EUR 9.7 after being suspended briefly during the morning.

Iberdrola is Spain’s top energy company in terms of stock market value.

Subject: Spanish news