SPY441.40-4.34 -0.97%
DIA345.64-1.80 -0.52%
IXIC15,043.97-137.96 -0.91%

UK competition regulator clears National Grid's $11 bln purchase of WPD

UK competition regulator clears National Grid's $11 bln purchase of WPD

reuters.com · 09/01/2021 02:43
UK competition regulator clears National Grid's $11 bln purchase of WPD

- Britain's competition regulator said on Wednesday it had cleared National Grid's NG.L proposed purchase of British electricity distribution business and will not refer the deal to a lengthy investigation.

The Competition and Markets Authority (CMA) said the deal, announced in March, does not merit a so-called Phase 2 investigation under the provisions of the Enterprise Act 2002.

National Grid had agreed to buy Western Power Distribution (WPD), which supplies power to the Midlands, South Wales and the South West, from U.S.-based PPL Corp PPL.N for $11 billion to ease a climate-driven transition from gas to electric power.

In June the watchdog said it had reasonable grounds for suspecting that the merger would result in National Grid and WPD "ceasing to be distinct" and told National Grid to refrain from integrating WPD while the investigation was underway. nL3N2NS1WO


(Reporting by Pamela Barbaglia, editing by Louise Heavens)

((pamela.barbaglia@thomsonreuters.com; +442075427723; Reuters Messaging: pamela.barbaglia.thomsonreuters.com@reuters.net))