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Advisers chosen for power generators share sale

Mary Fagan
Friday 25 March 1994 19:02 EST
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THE TREASURY has appointed Kleinwort Benson Securities and Barclays de Zoete Wedd as joint financial advisers and global lead managers on the sale of all or part of its remaining 40 per cent stakes in the electricity generators, National Power and PowerGen, writes Mary Fagan.

The holdings would raise about pounds 4bn at current share prices. A Treasury spokesman said the sale would take place in 1994-95 subject to market conditions but no decision had been taken on the size, structure or exact timing.

Kleinwort Benson already advises PowerGen, but the generator said it had agreed to seek a separate broker to act for it during the sale. National Power's brokers are Smith New Court and Cazenove.

Last month the regulator, Offer, decided not to refer the generators to the Monopolies and Mergers Commission, clearing the way for the Government to dispose of its shares. But they are still under close scrutiny by Offer concerning prices in the wholesale electricity market.

A spokesman for National Power said it welcomed the government appointments and looked forward to a speedy conclusion of the sale.

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