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TXU Nordic would interest Pohjolan Voima

22 November 2002 – Finnish energy company Pohjolan Voima has expressed interest in taking over TXU Nordic should it be sold, following the decision by parent TXU Europe to apply for administration.

The appointed administrators asked the firm’s trading partners to halt gas and power deliveries and froze electricity purchase contracts with four power stations on Wednesday although TXU Nordic is itself not in administration

TXU Europe, part of Dallas-based energy firm TXU Corp, owes its banks à‚£780m ($1.23bn) and its bondholders over à‚£2bn, according to the administrators.

Pohjolan Voima has owned 20 per cent of TXU Nordic Energy since the energy trader was established in 1997 and has pre-emptive rights to the remaining 80 percent. Pohjolan Voima Chief Executive Timo Rajala is reported to have said his company would be interested but would not speculate on the likely sale price.

Rajala said talks on the issue are ongoing with Pohjolan Voima’s owners, some of whom are energy firms that would be interested in the supply opportunities a sale of TXU Nordic would bring.