The boards of EDP – Energias de Portugal and EDP Renováveis have until 11 June to prepare a report on the opportunity and conditions of the takeover bid (OPA), namely on the prospectus and announcement of the launch by the group’s main shareholder, China Three Gorges, according to the current law.
The law stipulates that the board of directors of the company that is the target of a tender offer has eight days (consecutive) to prepare a report on the opportunity and conditions of the offer, starting when the draft prospectus and announcement of the launch is received, but as the deadline falls on a Saturday it is moved forward to Monday 11 June.
The boards have to safeguard the interests of all shareholders in relation to the price offered to buy the shares, which is 3.26 euros for EDP and 7.33 euros for EDP Renováveis, as well on the relevant details of the Industrial Project, which are included in the prospectus.
EDP’s board of directors has already said, “the price offered does not adequately reflect the value of EDP and the implicit premium on the offer is low, considering the practice in the European market of companies in the sector in situations where there was the acquisition of control by the offeror.”
On the stock exchange, the price of EDP and EDP Renováveis shares is moving away from the price offered by China Three Gorges, with EDP’s shares and has reached 3.419 euros, with a gain of 4.65% against the offer by the Chinese group and EDP Renováveis closed at 8.17 euros, or 10.28% more than the CTG offer. (macauhub)