Enel rejects EUR12 billion Wind bid

20 Dec 2004

The management of Italy’s dominant utilities group Enel has rejected a bid of around EUR12 billion for fixed line and mobile operator Wind from a consortium headed by businessman Cesare Romiti and Egypt’s Sawaris family. The alliance is thought to have offered EUR12 billion for the company, as well as promising to invest EUR2 billion to meet Wind’s short-term development goals. However, a statement from the state-owned utility said the tender failed to meet Enel’s expectations, ‘both in terms of the offer made and the conditions attached’. The statement also reiterated Enel’s intention to push ahead with an initial public offering for Wind within the next year to eighteen months, unless an offer was received which ‘adequately valued the company’. Many analysts believe the consortium headed by Mr Romiti will return with an improved offer over the next few months.

Italy, WINDTRE (incl. Wind and 3 Italia)