Enel, the Italian power company, thinks the synergy gains it can make at Endesa, the Spanish company that it won in a fiercely contested takeover battle this year, will be greater than it had previously expected.
Fulvio Conti, Enel’s chief executive, told the Financial Times that he expected the synergies to be worth €680m ($1bn) a year by 2012. Enel, which controls just over 67 per cent of Endesa, had previously suggested synergies would be about €500m. The group’s net profit last year was just under €3bn.
