Power: An attractive Investment
M&A activity again took center stage in Europe as Spanish construction companies Acciona and ACS continued their forays into the utility sector.
First, Acciona acquired a 10% stake in Endesa, which prompted German E.On to increase its cash bid for the company by almost 40%. Shortly thereafter, ACS acquired a 10% stake in Iberdrola, fuelling speculation that a merger of Iberdrola and Union Fenosa was in the cards (ACS also owns 35% in Union Fenosa). Please refer to the attached PDF document to view the full September 2006 report for the EIC Energy Utility Fund.