12-01-09 German utility major RWE is to take over Dutch Essent through an all-cash offer for all of Essent's issued and outstanding shares, RWE said.
The deal includes all Essent's commercial operations but does not include electricity and gas distribution networks and waste management operations, RWE said. RWE said the deal would make the company "one of the leading energy suppliers in the Benelux region with a strengthened position in North-western and Central Europe."

According to Essen-based RWE, the companies have reached agreement on the terms and conditions for a binding all-cash offer by RWE to the shareholders of Essent for the acquisition of all the issued and outstanding shares of Essent, according to RWE.
RWE said the "transaction fulfils RWE's financial investment criteria" as "Essent is a leading utility in the Netherlands and operates an attractive power plant portfolio based on gas, renewables, coal and nuclear [and the company] has a strong renewables business, which will complement RWE's own efforts to increase its renewables capacity to 4,500 MW by 2012."

The statement also said that the two companies' efforts in the area of carbon capture and storage (CCS) complemented each other. Excluding the network and waste management activities, Essent had 2008 revenues of EUR 6.55 bn ($ 8.77 bn).
Essent's principal shareholders are the provinces of Noord-Brabant, Limburg, Overijssel, Groningen, the Association of Municipal Shareholders Limburg, the Association of Municipal Shareholders Noord-Nederland and the municipalities of 's-Hertogenbosch and Tilburg.
RWE is Germany's second biggest utility and the country's biggest power generator.