National Grid to focus on growth, not takeovers

By DAILY MAIL REPORTER
Updated:

National Grid boss Steve Holliday wants to change the company's focus

National Grid boss Steve Holliday wants to change the company's focus

National Grid predicted a 'strong year' and signalled it will spurn acquisitions in favour of building up its existing business. 

The pipes and pylons group reported a 36 per cent fall in profit before tax to £1.39billion in the year ended March.

The shares rose 1½p to 584½p. The dividend rises 8 per cent to 35.64p, and chief executive Steve Holliday is continuing to target an 8 per cent annual increase. 

Grid plans to invest £3.4billion on energy infrastructure this year, up from £3.2billion previously.

It has built up an energy empire in the U.S. on the back of a series of blockbuster takeovers including the £4.8billion acquisition of KeySpan in 2007.

Despite bombed-out valuations in the stock market, Holliday said his focus is on bolstering the business 'organically'. 

Holliday said Grid is 'optimistic' about the opportunities for carbon capture and storage in Britain.

This involves stripping Carbon Dioxide from coal-fired power stations and storing it underground.

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