LONDON (ShareCast) - Water firm Kelda has today agreed terms of a recommended offer worth more than £3bn from a consortium that includes banking giant HSBC.
Newly incorporated Saltaire Water, whose other members are Citigroup unit Citi Infrastructure Investors, GIC Special Investments and Infracapital Partners, has offered 1,090p in cash per share plus the right to a 10.65p interim dividend.
The deal, valued at £3.035.5bn, or 1,100.65p per share, represents a 17.5% premium to last Wednesday’s closing price, the day before Kelda said it was in bid talks.
Kelda brought forward its interim results from Wednesday, reporting a profit before tax from continuing operations for the six months ended 30 September of £125.6m, up from £120.2m a year ago.
Revenue from continuing operations, excluding associates, was £434.9m, of which Yorkshire Water's regulated business contributed 90%.
The firm said its exit from the US is now substantially complete.