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Wednesday, 6 September, 2000, 16:24 GMT 17:24 UK
US company takes over Hyder
Hyder graphic
The American-owned Western Power Distribution has taken over the Welsh utility company Hyder.

WPD said its increased offer for Hyder PLC had been declared accepted "unconditionally".

The company said it had received acceptances for about 96.895 Hyder shares representing approximately 62.6% of Hyder's share capital. It needed to acquire at least 51% in order for the takeover to be successful.

National Assembly for Wales
The Assembly is opposed to some of WDP's plans

Wednesday was the final deadline for shareholders to accept Western Power's bid of 365p per share.

The news follows a highly controversial bidding process, which has seriously tarnished the image of the city of London Takeover Panel.

Western Power must now be bracing itself for a collision course with the trade unions and the Welsh Assembly.

Both are strongly opposed to WPD's plans to subcontract the management of Dwr Cymru/Welsh Water out of Wales to Warrington-based United Utilities.

They fear that could lead to hundreds of job losses.

It would also transfer control of the Welsh water industry out of Wales. Water has been a highly sensitive political issue in Wales ever since Welsh valleys were drowned in the 60's to provide water for England.

WPD has put those plans on hold pending a court hearing later this month.

Bidding war

The four-month long takeover saga featured a lengthy bidding war between Nomura and WPD.

The matter eventually went to sealed bids to the Takeover Panel.

WPD's bid was submitted after the deadline but was still allowed through despite Nomura's protests.

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See also:

18 Aug 00 | Business
Hyder faces fresh battle
16 Aug 00 | Wales
Assembly wary of Hyder takeover
14 Aug 00 | Wales
The Hyder takeover countdown
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