Portugal’s main power utility EDP initiated merger discussions with Perth-based electricity infrastructure giant SSE earlier this year, but talks did not progress, according to a Reuters report.

The proposed deal would have created one of Europe’s largest utilities, though still smaller than Enel and ScottishPower parent Iberdrola.

SSE is the biggest listed company run from Scotland, with a current stock market value of about £21 billion. EDP’s market capitalization is significantly smaller than SSE’s.

SSE directly employs 14,000 staff and supports 56,000 jobs across the UK and Ireland.

In May, SSE said it swung to a pretax profit of £2.495 billion in the year ended March 31, 2024, from a loss of £205.6 million in the prior year. Its revenue fell from £12.5 billion to £10.5 billion.

Reuters reported that EDP made the approach before the summer — but SSE’s management declined the proposal, preferring to focus on growing the company independently.

The talks ended around June.

EDP declined to comment. SSE said it does not comment on market speculation.

Reuters said that in May, EDP’s CEO Miguel Stilwell d’Andrade initiated discussions with SSE’s leadership, including holding talks with SSE’s CEO Alistair Phillips-Davies and Chair John Manzoni.