East Surrey Holdings

East Surrey Holdings is a FTSE 250 regulated multi-utility infrastructure business in the UK which comprises: Sutton and East Surrey Water plc (which supplies water to a number of southern London boroughs, East Surrey and parts of Kent and Sussex); Phoenix Natural Gas Limited (which distributes and supplies gas in the Greater Belfast area); and E.S. Pipelines Limited (which is an independent gas transportation business in the UK).

On 8 April 2005, East Surrey Holdings and Kellen Acquisitions Limited (a company formed at the direction of Terra Firma) announced a recommended cash offer for East Surrey Holdings, which values the company's issued ordinary share capital at £453m, a 24 per cent. premium to the market price on 5 April (before bid speculation pushed up the price). Terra Firma is effecting the acquisition by means of a Court sanctioned scheme of arrangement. Simultaneously, Terra Firma made a recommended cash offer for the company's preference shares, valuing the company's issued preference share capital at £16m.

Terra Firma is a private equity organisation that normally focuses on overlooked assets with potential for active growth creation and low risk due to stable customer demand and has existing investments in Waste Recycling Group and Shank's plc's landfill and power operations.

Canaccord Genuity is acting as Rule 3 advisor to East Surrey Holdings.