Crisis triggers talk of big sell-offs of UK arms
The crisis in Spain is by no means limited to its banks, as its vast power corporation Iberdrola, owner of Scottish Power, made clear yesterday.
Like many other corporate giants in the country, Iberdrola took on vast debts in the cheap money days running up to the recession to expand around the world. Now, with Spain's banks in retrenchment mode, its once-mighty businesses are finding themselves unable to roll those loans over.
Iberdrola's chairman admitted yesterday he would have to launch a programme of selling businesses not deemed central to its main business.
That led to instant speculation in some quarters that Scottish Power could be sold, or broken up, with potential buyers being named as Denmark's Dong Energy, RWE npower or deep-pocketed Russians being mentioned as possible contenders.
"I wouldn't be surprised if Iberdrola looked at selling Scottish Power," the said Investec analyst Dominic Nash.
Iberdrola denied the rumours but they served to highlight the uncertainty in industrial circles about Spanish conglomerates' ability to continue operating on a such a grand global scale.
Another major investor potentially coming under pressure is indebted Ferrovial, which owns Amey and the Heathrow operator BAA in the UK. It has already been selling down its stake in the BAA group.
Gay couple beaten in park urge MPs to moderate language on gay marriage
Strewth mate. Aussies wave goodbye to Britain as it becomes too pricey to stay
World news in pictures
Far-right French historian, 78-year-old Dominique Venner, commits suicide in Notre Dame in protest against gay marriage
Oklahoma tornado latest: Obama pledges support for 'as long as it takes' to rebuild the suburb of Moore
- 1 'He was lucky he didn't die' - George Michael fell out of speeding car onto M1 motorway, according to eye witness
- 2 Gay couple beaten in park urge MPs to moderate language on gay marriage
- 3 After woman sells virginity for $780,000, here are the results of our prostitution survey
- 4 Far-right French historian, 78-year-old Dominique Venner, commits suicide in Notre Dame in protest against gay marriage
- 5 'It was just like the movie Twister': Man survives Oklahoma tornado by taking refuge in horse stall
BMF is the UK’s biggest and best loved outdoor fitness classes
Find out what The Independent's resident travel expert has to say about one of the most beautiful small cities in the world
Win anything from gadgets to five-star holidays on our competitions and offers page.
iJobs Money & Business
£850 - £1000 per day: Orgtel: Programme Change Manager - Banking - London - £8...
£180 - £230 per day: Orgtel: Operations Analyst - Leading Bank in the City of ...
£500 per day: Orgtel: A top tier banking client urgently requires Finance Busi...
£425 - £550 per day: Orgtel: Senior Finance Project Manager - £550 - Bristol -...