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Hanson in line for PowerGen plants

Sunday 17 September 1995 18:02 EDT
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Hanson, which recently acquired Eastern Electricity, was this week expected to clinch a deal to buy two of PowerGen's power stations for around pounds 400m. The sale, which could be announced today, will meet demands from the regulator that PowerGen cut its generating capacity. It would also provide extra resources for its pounds 2bn bid for Midlands Electricity.

John Redwood, one of the architects of privatisation in the UK, believes any bid from PowerGen for Midlands should be referred to the Monopolies and Mergers Commission. He told the BBC's Money Programme last night that he was "sceptical" of such mergers, which could work against the interests of consumers.

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