The Chippenham-based green energy provider, Good Energy, has responded to what it describes as Stroud-based Ecotricity’s “opportunistic” bid to buy the company.
In a statement released this morning, the Board of Good Energy Group said it is unequivocally rejecting a possible offer by Ecotricity Group Limited.
The Board of Good Energy says it had carefully considered the possible offer of 340 pence per share for the entire ordinary share capital of the Company to be satisfied solely in cash.
Will Whitehorn, Chair of Good Energy, said: “This is a highly opportunistic approach by a direct competitor to the Company which the Board believes is not in the best interests of our shareholders, employees or customers. We have a clear strategy, a strong leadership team and a proven track record in delivering on our objectives.”
Its rationale for rejection is that the possible offer “fundamentally” undervalues the Group and fails to recognise the intrinsic value of the Group’s shares.
Good Energy has set out a clear direction for the business in recent announcements and is successfully delivering against this strategy. The Company’s leadership team has demonstrated its ability to deliver value to its shareholders and is committed to continuing to do so, highlighted in a recent trading update on 22 June 2021.
A spokesperson for Ecotricity said: “We are aware of the Board’s view, and are now interested in the view of our fellow shareholders.”