AFX cited the Spanish journal as saying that Iberdrola had recently been eyeing up two possible US targets, and that a transaction could be completed in as little as just over a week. Although the companies were not named, the utility is reported to have denied that Exelon subsidiary Philadelphia Electric is a target.
Cinco Dias cited unnamed inside sources as the basis of its report. Although the publication could not go into detail about Iberdrola’s alleged proposal, it did confirm that the acquisition would not be on the same scale as the utility’s recent purchase of UK player ScottishPower.
According to AFX, industry observers have speculated that Iberdrola could be looking to acquire Florida Energy, as it would be a strategic fit for the company’s existing wind power operations in the US. However, the news agency commented that this utility is perhaps too large to correspond with Cinco Dias’ reports about the potential acquisition.
AFX also reported that other industry observers are putting the rumors down to Iberdrola’s strategy of continuously looking out for US targets.
Bloomberg reported that Iberdrola’s shares rose E0.64, or 1.5%, to E42.84 amid the reports.
