Pennon Group acquires Bournemouth Water

Pennon Group acquires Bournemouth Water

Parent company of South West Water, Pennon Group Plc, has purchased Bournemouth Water from Sembcorp for £100.3 million in cash. As part of the deal, £86.9 million of external debt has been assumed by Pennon.

 

The deal has been agreed and the acquisition will be referred to the Competition and Markets Authority (CMA) automatically, and is part of Pennon Group’s broader strategy to restructure operations at South West Water in time for the statutory reform of the non-household retail market in 2017.

 

Devon-based Pennon has been under pressure from water regulator Ofwat to reduce costs and improve service.

 

Pennon’s Executive Director and South West Water’s Chief Executive, Chris Loughlin, commented: “Bournemouth is a top performing water company and is an excellent business fit with South West Water’s existing operations. The combines business will provide an enhanced platform for innovation and growth ahead of market liberalisation in 2017 and will better serve both Bournemouth and the South West, delivering tangible benefits to customers and shareholders.

 

“Bournemouth Water has a proud pedigree and high service standards. Like South West Water, it operates in a varied rural and urban landscape, with an economy reliant on tourism and the natural environment. We look forward to building on its strengths and continuing to deliver high quality customer services with some of the lowest bills in the industry.”

 

Managing Director of Bournemouth Water, Bob Taylor, added: “We welcome the acquisition by the Pennon Group. South West Water has extensive knowledge of the UK water industry and was the only water and sewerage company to have been awarded ‘enhanced’ status for its business plan. We look forward to the opportunities being part of the Pennon Group will bring.”

Please rate

Comments 

Ctrl + Enter

Most Read

How Blockchain Technology is changing the Energy Sector

How Blockchain Technology is changing the Energy Sector

The disruptive potential of blockchain technology is becoming more evident with every passing day. From the proliferation of cryptocurrencies, and its increasing applications in other areas including banking, gaming, music licensing, as well as the energy sector, blockchain technology is

How to deal with interview rejection

How to deal with interview rejection

Sorry we think you’re not the ideal fit for this position or sorry to inform you, but you are not exactly the candidate we were hoping for – these are some of the replies you may get from an unsuccessful interview, and while it can sting for a day or two, you should not dwell on it any

Mirroring England’s Young World Cup Team in Engineering

Mirroring England’s Young World Cup Team in Engineering

Alas, the cup didn’t come home. However, it's wasn't all doom and gloom as 4th placed England at the just concluded FIFA World Cup in Russia, were not initially expected to perform wonders. However, in the course of the tournament, the belief grew, and hopes were raised. Gareth

This website uses cookies to enhance your user experience. By continuing to use this site, you consent to our use of these cookies. See our Cookie Policy.