Texas Utilities has taken a 14.9 per cent stake in the Energy Group, the company which owns Eastern Electricity and Peabody. The acquisition of shares forms part of a bruising struggle with PacifiCorp for control of the company. The latter had already acquired an 8.6 per cent stake.
Texas is believed to have paid 840p for shares from Credit Suisse First Boston and the same price for shares bought from Soros. The company is offering $4.45 billion for the Eastern Group.
The UK regulator, Offer, now has to decide whether the bid should be referred to the UK Monopolies and Mergers Commission. However analysts think it would be unlikely. In December last year, the MMC cleared a PacifiCorp bid for the company.