Iberdrola waives all conditions to Infigen takeover offer
The Woodlawn wind farm in New South Wales. Source: Infigen Energy
Spain’s Iberdrola SA (BME:IBE) has increased its ownership stake in renewables company Infigen Energy (ASX:IFN), stating its offer to take full control of the Aussie firm is now unconditional.
The Spanish utility said on Wednesday it now owns 23.97% of Infigen and holds 232.67 million of Infigen’s stapled securities. The Australian group’s largest shareholder, UK-based investor The Children's Investment Fund, previously signed a pre-bid agreement to sell a 20% stake to the Spanish energy company.
In order to sweeten its AUD 0.89 (USD 0.62/EUR 0.55) per share bid for the Aussie developer, Iberdrola has removed the minimum acceptance requirement on its offer, making it fully unconditional. The specific condition called for Iberdrola to acquire more than 50% of Infigen’s stapled securities by July 30. At the start of July, it secured approval from the Foreign Investment Review Board (FIRB) to proceed with the proposed acquisition.
Iberdrola also said it would accelerate the payment to shareholders who accept its offer, saying they will be able to get the respective consideration within five business days from the date of acceptance. Its proposal received unanimous approval by Infigen’s board, which advised shareholders to accept it in the absence of a superior proposal. Meanwhile, the Australian firm has turned down the bid of UAC Energy Holdings Pty Ltd (UAC). The latter, owned by Philippine conglomerate Ayala Corporation’s AC Energy and Hong Kong-based UPC Renewables Group, initially offered AUD 0.80 per share for Infigen’s stock but later improved its offer to AUD 0.86 per share to match the one made by Iberdrola.
The Spanish firm’s proposal of AUD 0.89 per share values Infigen at AUD 840.6 million.
Veselina Petrova is one of Renewables Now's most experienced green energy writers. For several years she has been keeping track of game-changing events both large and small projects and across the globe.