Vattenfall issues bid to acquire up to 67% in Elsam

Vattenfall AB has today issued a bid to purchase shares in the Danish utility Elsam. The offer is addressed to a consortium that pools 67% of the Elsam shares.

Vattenfall’s offer consists of a cash bid with a fixed price of 1,250 DKK per share under the condition that the amount of shares sold to Vattenfall exceeds one third of the total number of shares in Elsam. A second option that was offered to the consortium is based on a fixed price of 1,450 DKK per share of which 300 DKK per share are conditional to Vattenfall acquiring more than one third of the shares in Elsam, the development of power prices and that Elsam achieves a majority position in the Danish power generation company Energi E2 A/S. “We have had very fruitful discussions with the owner consortium so that our Danish partners consequently asked Vattenfall to come forward with a bid. We gladly complied and believe that the cash offer we have made today presents an attractive alternative for them”, says Vattenfall’s President & CEO Lars G. Josefsson. “Elsam and Vattenfall are a matching pair. Elsam with its competence in cogeneration and wind-power will be an ideal partner for our common further growth on the Nordic Market. We at Vattenfall have gained a lot of experience on highly competitive markets. We want to use this to the benefit of the Danish customers.” Elsam A/S is Denmark’s leading producer of electricity and heat with activities both within Denmark and abroad. Operating mainly on Jutland and Fyn, Elsam operates coal- and waste-fired cogeneration plants with a total capacity of more than 3,600 MW. Its 417 MW wind-power generation makes Elsam Scandinavia’s largest wind-power operator. For further information, please contact: Lars G. Josefsson, President & CEO, phone: +46 (8) 739 50 05. Mikael Kramer, Head of Mergers & Acquisitions, phone: +46 (8) 739 65 09. Martin May, Head of Group Media Relations, phone: +46 (8) 739 52 70. From Vattenfall's Press Office, telephone: +46 8 739 50 10.