Spanish Approve Italian Endesa SA Takeover

Spanish regulator the National Energy Commission (NEC) has voted to approve the purchase of national utility Endesa SA by Italy's Enel SpA, despite the EU saying it is still in discussions about a similar takeover deal by a German energy provider.

The Italian request came as the EU says it will not make a decision on the German acquisition, by Germany's E.ON AG, until 6 August 2007.

The EU has been concerned that E.ON AG's €42.5bn acquisition would require careful consideration as it would see the company enter Spain for the first time, as well as extend its reach throughout France, Italy, Poland and Turkey.

Spain's NEC had also shown concern over the German acquisition, rejecting it earlier this year, but it says it will support Enel SpA in its efforts, following strict adherence to guidelines it says are still to be drawn up.