Severn Trent Water has hit back in its bid to buy rival utility Dee Valley Water.
The yo-yo saga has taken another twist after the Coventry-based utility lodged a second, improved takeover bid for the Wrexham company, countering a second offer from London-based infrastructure investment manager Ancala.
Earlier this month, Severn Trent announced it had agreed a £78.5 million deal to buy Dee Valley, which appeared to scupper plans by Ancala which had previously agreed to buy Dee Valley for around £71.3 million.
Ancala then revised its offer this week by 1p per voting ordinary share - up to 1,706 pence - prompting Severn Trent to then lodged a second bid of 1,825p per ordinary voting share.
This values the entire issued share capital of Dee Valley at approximately £84 million.
The board of Dee Valley has swung its support away from Ancala again, recommending that its shareholders vote in favour of Severn Trent's latest offer.
Dee Valley Water serves around 260,000 customers in Cheshire and North Wales and has 200 staff.
