Australia’s Genex Power Ltd (ASX:GNX) on Monday turned down a AUD-319-million (USD 222.1m/EUR 217.8m) non-binding takeover proposal from a tie-up of investors including shareholder Skip Capital as the bid undervalues the company but said it is still open to a better offer.
According to the renewable energy developer, the conditional indicative offer is “not in the best interests” of the holders of its shares and the company will not open its books on the basis of the current offer. Nevertheless, the company's board said it is "willing to engage constructively" with the suitors to explore whether the bidding consortium can submit a revised proposal.
As announced last week, Skip Essential Infrastructure Fund (SEIF), a fund owned by Genex’s existing shareholder Skip Capital, and alternative investor Stonepeak Partners LLC, offered to buy all of Genex’s ordinary shares through a scheme of arrangement at a cash price of AUD 0.230 (USD 0.159/EUR 0.156) apiece.
Sydney-based Genex is focused on the development of renewable energy generation and storage projects in Australia, with its portfolio comprising AUD 1 billion worth of projects. Among its projects are the Kidston Clean Energy Hub in Queensland, which includes a 50-MW operational solar park and a project for a 250-MW pumped storage hydro facility, the 50-MW Jemalong solar farm in New South Wales and the 50-MW/100-MWh Bouldercombe battery in Queensland.
Skip Capital already owns a 19.99% equity stake in Genex.
(AUD 1.0 = USD 0.692/EUR 0.676)
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