Developer and operator of power generation projects Energy Developments Ltd
(ASX:ENE) says it has received a takeover proposal from Pacific Equity Partners to acquire 100 per cent of the company offering $2.65 a share.
However the board of Energy Developments says it is not prepared to promote a scheme of arrangement at the price and terms proposed saying it does not believe it represents adequate consideration of the long term intrinsic value of the company.
The company says its share price performance over recent months is an inappropriate reflection of the underlying value of the company’s assets, particularly due to severe share trading liquidity constraints, with the top 10 shareholders now representing around 80 per cent of the company’s issued share capital.
Energy Developments also says it has terminated discussions with the international infrastructure specialist fund manager which, as previously announced, had offered to acquire the company’s UK and French landfill gas power generation interests.
Energy Developments 2009 net profit took a big tumble from its result the year before.
