The water and sewerage company put in the bid after market closed on Wednesday 23 November. It said it “continues to believe that an acquisition of Dee Valley by Severn Trent Water would provide a very successful outcome for the customers of Dee Valley”.
Severn Trent was outbid for Dee Valley Water by infrastructure investment manager Ancala, which made an offer 1 pence per share more after close on Tuesday 22 November.
Severn Trent had announced the previous week that it would buy Dee Valley in a deal worth £78.5 million, overtaking an original £71.3 million takeover agreed by Ancala.
According to reports in the local media, local MPs had raised concerns that Severn Trent’s takeover of Dee Valley could result in job losses.
Ancala said in a statement that, under its ownership, Dee Valley would “continue to be a local company, run by staff situated locally within the community who will be incentivised to deliver excellent customer service to that community”.
Severn Trent said in its latest statement that it intends to “enhance the current customer service offering” including by extending support for vulnerable customers where we provide discounts and support for local people who most need it – potentially up to 90 per cent off water bills in some cases.
According to its financial statement, released today, Severn Trent offers the lowest combined average bills in Britain – £329 in 2016/17 – and has invested more than £250 million in its network.