DE Shaw mulls bid for majority in TerraForm Power

DE Shaw & Co LP is considering making a non-binding bid for SunEdison’s (OTCMKTS:SUNEQ) entire shareholding in renewables yieldco TerraForm Power Inc (NASDAQ:TERP).

A filing with the US Securities and Exchange Commission (SEC) says that the hedge fund manager, which currently holds a 6.7% stake in TerraForm Power, is evaluating various potential transactions with the yieldco and its bankrupt parent. Such transaction could result in a unit of DE Shaw & Co controlling or otherwise taking part in the management and operations of TerraForm Power, according to the filing.

No further details were given.

As previously announced, both TerraForm Power and its sister company TerraForm Global Inc (NASDAQ:GLBL) have started exploring potential strategic alternatives, including possible mergers or divestments of their entire businesses. They have been working closely with SunEdison on disposition alternatives.

Last month, Bloomberg reported, citing sources, that funds of US investment manager BlackRock Inc (NYSE:BLK) were evaluating the assets of TerraForm Power in preparation for a possible bid. Canada’s Brookfield Asset Management Inc (TSE:BAM.A), billionaire David Tepper’s hedge fund Appaloosa Management LP and China’s Golden Concord Holdings Ltd had also shown interest, the news agency said at the time.

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