Severn Trent completes £84m acquisition of Dee Valley as objectors back down
Severn Trent Water has completed its £84m acquisition of Dee Valley Water. The completion followed a decision by Dee Valley shareholders who had resisted the takeover not to pursue an appeal after the High Court had ruled last Wednesday that the take should go ahead.
The objecting shareholders had attempted to block the acquisition through an unprecedented move in the takeover process which the judge said they had made out of self interest rather than the interests of all shareholders (for a summary see here). They had been granted leave to appeal following last week’s High Court decision.
Some Dee Valley employees and customers opposed the takeover because they feared jobs would be cut and bills would increase.
Severn Trent Water said “Dee Valley customers can look forward to new customer service initiatives, low bills and investment .“ It made no direct reference to jobs.