The Genex Power Ltd (ASX: GNX) share price is lifting once more after a consortium of suitors, including the investment fund of Atlassian (NASDAQ: TEAM) co-founder Scott Farquhar, slapped the stock with another takeover bid.
And this one looks like it could stick. The consortium, made up of Farquhar's Skip Capital and Stonepeak Partners, has offered 25 cents per share to snap up the company. That's 2 cents higher than its previously rejected offer.
The Genex share price is surging on the news. It's up 6.82% to 23.5 cents at the time of writing, after repeatedly topping 8% throughout the day.
Let's take a closer look at the latest from the renewable generation and storage company.
Genex share price soars on upped takeover bid
It's been a long journey to get here, but Genex has finally granted Skip Capital's infrastructure fund and Stonepeak Partners due diligence.
The consortium first put forward a 23 cent per share bid, valuing the renewable energy company at $300 million, in late July.
And while the market responded with joy, sending the Genex share price 44% higher, the company wasn't impressed. Its board turned down the offer earlier this month, saying it undervalued the company.
Though, it allowed the consortium access to some due diligence information in the hopes doing so would result in a higher bid.
And lo and behold, a higher bid has materialised. The new offer represents an 85% premium on the undisturbed Genex share price and a 92% premium on its three-month volume weighted average.
It also values the company at around $346 million.
The company's board hopes the consortium follows its proposal with a binding bid after it undergoes due diligence.
If such a bid is priced at 25 cents per share or higher, Genex will recommend it to shareholders. That's as long as an independent expert agrees it's in investors' best interests and no better offer comes along.
If all goes to plan, the consortium will snap up Genex via a scheme of arrangement in the not-so-distant future.
