Spanish May Bid For British Energy

Iberdrola, the Spanish energy company, could still bid for British Energy, the UK nuclear generator, or join in another company's bid, it said yesterday.

In a statement to the London Stock Exchange, Iberdrola said it did not intend to bid or join a bid for British Energy, unless it had an offer accepted or there was "a material change of circumstances", a clause that could refer to a bid from another company.

Iberdrola has never been seen as likely to make its own bid for British Energy, but could join an offer, perhaps from RWE of Germany, as a junior partner.

Earlier in the week, Ignacio Sánchez Gálan, Iberdrola's chairman, said British Energy's wish to see a bid worth over 735p a share was "over what we consider reasonable".