671 articles in United Kingdom
A government committee has responded to concerns over the introduction of upstream competition into the UK water industry. It is a major setback for Ofwat’s ambitious implementation timetable.
The group’s latest acquisition will complement its growing service offering. It will have to do more if it is to achieve its 2013 growth targets.
Following the adoption of a more conciliatory stance by the UK regulator Ofwat towards its proposed licence changes, a flurry of UK water companies – including Pennon Group and Yorkshire Water – revealed in mid-January that they have agreed to accept the revised proposals.
M&A speculation helped drive the valuations of a number of European water companies in 2012. The composition of the index could look very different this time next year.
Chart of the Month - Dividends paid by UK water and sewerage companies since privatisation Vol 13, Issue 12 (December 2012)
This month’s chart shows how much money investors have taken out of the UK water and sewerage companies in the form of dividends since privatisation in 1989.
Overheard at a UK water infrastructure establishment:
Modern Water and Energy Recovery Inc. both received a boost this month, albeit for different reasons. A profit warning at Pennon, meanwhile, wiped 10% off the value of the stock and sent it crashing out of the FTSE 100.
Steep rises in pre-tax profits at some of the UK water and sewerage groups were overshadowed by another round of hefty dividend payouts. What are the long-term implications?
The Greek government intends to release a request for expressions of interest later this month ahead of the sale of its 74% stake in Athens-listed EYATH, the concessionaire responsible for water supply and sewerage in Thessaloniki.
The regulator’s new-found willingness to negotiate comes after stark warnings over the sector’s future financeability. It is unlikely to be able to convince the more highly leveraged water companies.