Ascendant shareholders to vote on takeover
Shareholders of Ascendant Group Ltd are to vote today on whether to accept a takeover bid by a Canadian utilities group.
Algonquin Power and Utilities Corp has offered $365 million for the shares in Ascendant Group. The group includes electricity supplier Belco, AirCare Ltd, iEPC Limited, IFM Limited and Ascendant Properties Ltd.
Shareholders would receive $36 per share under the proposed deal, a premium of 20 per cent over yesterday's closing share price of $30 per share. Ascendant shares traded at $22 on June 3, the day that the deal was announced.
Ascendant's board of directors has voted unanimously in favour of accepting the bid.
In a letter sent to shareholders, board chairman Peter Durhager encouraged shareholders to approve the transaction. A two-thirds vote is needed for approval.
Should shareholders approve the deal this morning, the bid by Algonquin would require regulatory approval before going ahead.