The bidding war for Infigen (ASX: IFN) continues as two more bids emerged this morning.
What is Infigen?
Infigen is one of the largest renewable energy generators in Australia. It owns a portfolio of wind winds, it also sources renewable energy from a portfolio of contracted assets.
What are the latest bids?
You may remember that a few weeks ago Infigen received a takeover offer from UAC Energy (owned by a Philippine business) which has taken up a stake of more than 12%. That offer was $0.80 per share.
Iberdrola then announced a larger offer of $0.86 cash per share to outdo UAC Energy.
UAC Energy then offered $0.86 per share, but declared its offer wholly unconditional with payment terms of T+10 business days.
To counter that, it was announced today that Iberdrola has increased its offer to $0.89 per share.
Who knows if this is the final offer price or not? Infigen shareholders are steadily seeing a rising price for their shares, which hasn’t been seen for a few years – despite the strong share market during the last couple of years and high Australian electricity prices.
The Infigen share price has now reached $0.91 after rising 2.5% in early trading.
It’s interesting to see this bidding war play out during the COVID-19 pandemic. Other renewable energy shares to consider could be Mercury NZ (ASX: MCY) and Tilt Renewables (ASX: TLT).
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Disclosure: At the time of writing, Jaz doesn’t own shares in any of the businesses mentioned.
