Talks between RWE AG (RWE.XE), Centrica PLC (CNA.LN) and Iberdrola SA (IBE.MC) over mounting joint bids for British Energy PLC (BGY.LN) aren't moving forward, a person familiar with the matter told Dow Jones Newswires Friday.
Separately, U.K. newspaper The Daily Telegraph reported that RWE is in talks with Scottish and Southern Energy PLC (SSE.LN) about making a joint bid for British Energy.
The companies declined to comment.
The person familiar with the matter said talks are moving forward between Centrica and Electricite de France SA (1024251.FR) over long-term power supply contracts, should the French firm's bid for British Energy be successful, but there is no firm agreement.
British Energy confirmed last Friday that it has received a number of proposals from several parties wishing to make a full offer, some of which were above 680 pence a share. However, the company said the proposals required further development and didn't say if they were cash or share offers.
EdF is considered the front runner to take over British Energy, given its nuclear expertise and strong balance sheet. It is the only company confirmed to have submitted a firm cash bid for British Energy.
French utility Suez (SZE) said Friday it won't make an offer for British Energy in order to focus on its ongoing merger with Gaz de France SA (1020848.FR).
The Telegraph said Iberdrola and RWE are still talking about cooperating on a bid, but that people involved in the talks are skeptical about how motivated the Spanish utility is to do a deal.
The U.K. government is selling its 35.2% stake in British Energy, the purchase of which would automatically trigger a bid for the whole company. At 680 pence a share, the company would be worth GBP10.85 billion.