$519m offer for Infratil firm

SYDNEY - Energy Developments, part owned by New Zealand's Infratil, has received a A$415 million ($519 million) takeover offer from private equity firm Pacific Equity Partners.

Energy Developments said the offer represented an inadequate consideration for the long-term value of the company, but it would not stand in the way of Pacific Equity Partners making an off-market bid.

The local private equity firm offered A$2.65 for each Energy Developments share after a due diligence process allowed by Energy Developments following talks last August.

Shares in Energy Developments, a provider of renewable energy, last traded at A$2.41.

Energy Developments said yesterday it considered its share price performance in recent months an inappropriate reflection of the underlying value of its assets.

The Brisbane company has power stations in Australia, the United States, Europe and Britain which draw from fuel sources including landfill gas, waste coal mine gas, natural gas and liquefied natural gas.

- AAP