Dee Valley court hearing adjourned again
The judge presiding over the High Court hearing on Friday to consider the outcome of Severn Trent Water's bid to acquire Dee Valley Water has reserved judgement. The decision is now expected to be made during the week beginning 6 February.
The outcome of an earlier court hearing – held under the Scheme of arrangement rules governing the takeover – was thrown into question after move by a shareholder who objected to a Severn Trent takeover potentially skewed a shareholder vote against Severn Trent (see earlier coverage for details).
Friday's hearing followed two adjournments last week. Before it, Dee Valley issued as statement saying it "intends to make further announcements when it becomes aware of the time the judgement is due to be handed down and separately following receipt of such judgement." Dee Valley has recommended that shareholders "do not take any further action in respect of the Ancala Revised Proposal until the Court's determination as to whether or not to sanction the Scheme has been announced."
Dee Valley shareholders recently approved Severn Trent's offer at 1,825 pence per voting share and 1,713p per non-voting share after it had outstripped an earlier offer by investment manager Ancala Fornia.
Ahead of the High Court hearing, Welsh Assembly Members and MPs in the Dee Valley region had urged Severn Trent to 'respect the views of the community' and withdraw its £84million bid.
Severn Trent said the bid would deliver the 'best long term outcome for customers locally.' Ancala has said its offer remained.