Iberdrola denies interest in Tilt Renewables

Spanish utility Iberdrola SA (BME:IBE) today denied a media report that said it leads the race to acquire the 65.6% stake in Australian power producer Tilt Renewables Ltd (ASX:TLT) currently held by New Zealand-based infrastructure investor Infratil Ltd (NZE:IFT).

Local newspaper The Australian reported, without naming any sources, that through this potential purchase Iberdrola is looking to increase its exposure to the Australian market.

However, a representative for Iberdrola told Renewables Now that the company has no interest in buying Tilt Renewables assets.

Another option for a new owner of the Aussie wind farm operator is superannuation and pension fund AustralianSuper, which earlier this month made an offer for an outright takeover of majority owner Infratil. The proposal, however, was rejected “as materially undervaluing IFT’s high quality and unique portfolio of assets on a control basis.”

Infratil’s CEO Marko Bogoievski said at the time that some of the company’s additional value would be demonstrated in the near term once a strategic review of Tilt Renewables is concluded. The particular review was initiated earlier in December, with Infratil saying it had received a number of enquiries for its interest in the renewables firm.

“Any decision to pursue a particular proposal would need to demonstrate a material increase in expected returns and shareholder value relative to the current positive outlook. The strategic review is scheduled to be concluded within six months,” it added then.

Melbourne-headquartered Tilt operates in Australia and New Zealand and currently has 836 MW of installed wind turbine capacity. The company also has a “significant” development pipeline of wind and solar projects, having secured clearance for over 2.5 GW of projects.

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