Vattenfall eyes up $16.2bn Scottish & Southern Energy takeover deal

9 February 2009 – Scottish and Southern Energy (SSE), the UK’s second biggest power firm, is reportedly being eyed as a potential takeover target by a state owned Swedish power giant Vattenfall.

According to the Scottish newspaper Press and Journal, SSE and Stockholm-based Vattenfall were said to be involved in £11bn ($16.2bn) takeover talks.

The talks are believed to be at an early stage, however, and any takeover is understood to depend on the outcome of an auction of Dutch energy firm Nuon.

Vattenfall is currently bidding for Nuon and the SSE talks are understood to be a fall-back position if it is unsuccessful.

The Swedish firm has a huge cash fund for acquisitions and is thought to have been seeking to move into the UK market for some time.