By Ian Walker
Harmony Energy Income Trust shares rose after the company said it agreed to a 199.9 million pound ($258.4 million) takeover from Drax Group, topping a proposal from Foresight Group LLP.
Shares were up 9.10 pence, or 11%, at 88.30 pence in early morning European trading. They have risen 36% over the year to date.
The London-listed company said Tuesday that under the Drax offer, accepting shareholders would get 88 pence for each share held.
The price is a 4.8% premium to Foresight's indicated price of 84.0 pence and a 35% premium to Harmony's closing share price of 65.2 pence on March 14, the day before the Foresight offer was announced.
Harmony said the Drax offer price is fair and reasonable and recommends it to shareholders. It had previously said the Foresight proposal was at a value that it would recommend to shareholders if a formal deal were made.
Foresight has until April 14 to either make a formal offer to buy Harmony or walk away under U.K. Takeover Panel rules.
Write to Ian Walker at ian.walker@wsj.com
(END) Dow Jones Newswires
March 25, 2025 04:23 ET (08:23 GMT)
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