Infinis, the private equity-backed renewable energy generator, has increased its cash offer for wind farm developer Novera Energy to 75p a share. Its original 62.5p a share offer for the company was roundly ignored by other shareholders, resulting in only 0.2 per cent accepting the offer. But one shareholder representing 3.9 per cent of the company has relented at the 75p level, leaving Infinis holding 46.7 per cent of Novera, not far short of its 50 per cent initial target.
Thus far, Novera's shareholders have resolutely refused to consider Infinis' overtures, but 75p a share may prove more tempting, as it did for the one institution that relented. Analysts from KBC Peel Hunt and Piper Jaffray still believe 75p is below fair value for the company and Novera's board has again rejected the bid as undervaluing the company.
