NEWS: Brunswick advises CE Electric on takeover bid

CE Electric, the joint venture company formed by US electricity generator CalEnergy and construction firm Peter Kiewit Sons, has brought in Brunswick to advise on its takeover battle for Northern Electric.

CE Electric, the joint venture company formed by US electricity

generator CalEnergy and construction firm Peter Kiewit Sons, has brought

in Brunswick to advise on its takeover battle for Northern Electric.



Sources suggest the agency, which is providing public affairs advice as

well as financial media relations support, could net as much as pounds 1

million if the bid is successful.



CalEnergy, which is based in Nebraska, announced on Monday that it was

launching a pounds 766 million bid for the north-east’s electricity

supplier. The bid follows CalEnergy’s failure to hammer out an agreed

deal with Northern over the previous week. Northern Electric has

rejected the bid as valuing the company too low.



Brunswick’s appointment was made shortly before the bid was announced.

It was non-competitive and was based on the recommendation of Credit

Suisse First Boston, CE Electric’s financial adviser.



Lucas van Praag, the partner who is leading Brunswick’s four-strong team

on the assignment, said the agency would highlight CalEnergy’s strategy

of developing expertise in electricity distribution as well as

generating.



‘This is about combining skills rather than just a financial

investment,’ he said. Van Praag declined to say how much Brunswick is

being paid.



Northern Electric is being advised by its retained PR consultancy

Financial Dynamics and Lowe Bell Political, which it used against a

failed bid by Trafalgar House in 1994.



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