Dominion Resources, the US electricity and gas company, has called in
The Maitland Consultancy to advise on the communications and regulatory
issues surrounding its pounds 1.3 billion bid for East Midlands
Electricity.
Hired two weeks ago, the agency has been asked to handle Dominion’s
relations with the business and financial press, devise an overall
communications strategy and provide assistance in the event of
intervention by the regulatory authorities.
The appointment was made without a competitive pitch on the
recommendation of Dominion’s financial advisers SBC Warburg and
Wasserstein Perella, both of whom have previously worked with The
Maitland Consultancy.
Consultancy chairman Angus Maitland said: ‘We are engaged in an exercise
to make sure that the company’s intentions are made clear.’
East Midlands Electricity, which earlier rejected suggestions of a
pounds 1.25 billion offer by Dominion, agreed on Tuesday night to a cash
bid at 670 pence per share. The Nottingham-based company is using its
retained agency Finsbury for financial PR, regulatory and political
advice.
Dominion Resources is the sixth US utility to attempt the take over of a
UK regional electricity company since privatisation. Although Trade and
Industry Secretary Ian Lang has waved through earlier bids, he may be
inclined to take a tougher stance in the run up to a general election.
* The Maitland Consultancy has been hired by insurance group Commercial
Union to handle press relations. The account will be managed by
consultants William Clutterbuck and Martin Leeburn. Citigate previously
held the business for seven years.
