The Energy Group
From Wikipedia, the free encyclopedia
The Energy Group plc, a defunct British power generator and distributor, was originally a subsidiary of Hanson plc until its demerger in 1996.
Hanson created the group as a holding company for:
- Peabody Energy: coal activities in the United States and Australia
- Eastern Group: power and networks businesses in the UK.
In 1998, following an unsuccessful takeover attempt by Pacificorp, the company was the subject of a bidding war between Pacificorp and Texas Utilities. Texas Utilities won with a bid of approximately £4.5bn (Pacificorp's original bid in 1997 was £3.6bn). Following the acquisition Texas Utilities was renamed TXU; with The Energy Group becoming TXU Energi, part of TXU Europe.
In October 2002 TXU announced it was pulling out of Europe due mainly to the collapse of its UK operations. In context in 2002 the British government was forced to bail out the nuclear generator British Energy, Powergen announced it was to mothball a large number of its power stations and wholesale energy prices fell by almost 40%. Powergen purchased TXU's UK businesses for £1.37bn ($2.9bn).
