A £5.7 billion buyout is moving toward the finish line in the energy sector.
A consortium consisting of KKR and Energy Capital Partners is close to acquiring DCC Plc, a Dublin-based company that sells and distributes energy across Europe and the US. The consortium faces a Wednesday deadline to finalize its bid for DCC Plc, sources said. The current offer is £66.72 per share, including a dividend. Compared to the consortium's initial offer, the latest proposal is 15% more generous.
The board of DCC indicated in June its willingness to accept the consortium's proposal. As the Wednesday deadline looms, the board is close to formally approving the deal. Discussions continue and may yet be postponed.
The offer price already shows up in the market. Later that day in London, DCC shares hovered at £63.60 by 2:50 p.m., having briefly spiked earlier, showing little overall movement.
Not everyone is happy with the price.
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Aviva Investors and Fidelity International said, "the buyout firms are undervaluing DCC."
The board has not budged, though. The decision on final signoff rests with the board.
DCC stands among the last Irish firms on the FTSE 100, following CRH and Flutter Entertainment, which shifted their primary listings to the United States. A successful acquisition would underscore the trend of European energy firms attracting private equity interest.
The company operates across fuel supply, heating, and refrigeration, generating stable cash flows from its diversified European and US footprint. Such predictable revenue streams, combined with opportunities for operational efficiencies, make DCC a classic target for buyout firms. The consortium's willingness to raise its offer by 15% after protracted talks highlights both the value it sees and the pressure to secure the deal before the deadline.
The proposed deal reflects a growing appetite among private equity groups for European energy distributors, which often generate steady cash flows and offer opportunities for operational efficiencies. DCC, with operations spanning fuel supply, heating, and refrigeration across multiple countries, fits that profile. The consortium's willingness to increase its offer by 15% highlights the protracted negotiations, while the board's continued support suggests it sees limited alternative paths to unlocking value. If completed, the takeover would remove one of Ireland's last blue‑chip names from London's main index, a symbolic shift that follows the transatlantic listing moves of CRH and Flutter.
Currently, the consortium continues to pursue its current offer as the board approaches final approval. Spokespeople for DCC, KKR, and ECP chose not to comment.
The bottom line: A consortium of KKR and Energy Capital Partners is nearing a £5.7 billion takeover of DCC Plc. The board is close to final signoff despite opposition from two large shareholders.
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