Good Energy again rejects takeover bid by ‘loss-making’ Ecotricity

Good Energy has once again strongly rebuffed efforts by Ecotricity to buy out the remaining shares in the company.

Company chair Will Whitehorn said the supplier did not agree that a takeover by a “loss-making competitor” would help Good Energy compete more effectively in the market.

The latest rebuttal comes after Ecotricity yesterday published its offer document (11 August) containing the full terms and conditions along with the associated form of acceptance that was also sent to Good Energy’s shareholders.

The offer will initially be open for acceptance until 1pm on 10 October although this deadline may be brought forward.

While a full response will be published in due course, Good Energy has reiterated its “unanimous and unequivocal rejection” of the takeover bid from Ecotricity, which is owned by Dale Vince. It further urged shareholders to take no action in respect of the offer.

Whitehorn said: “The board firmly rejects this highly opportunistic and hostile offer and does not agree that the takeover of Good Energy by a loss-making competitor would help the company compete more effectively in the energy market.

“Such a takeover would deprive investors of the opportunity to support, and benefit from, Good Energy’s future growth. It would place the collective interests of our investors and customers in combating the climate crisis into the hands of one individual.”

Last month, it was revealed that Ecotricity, which owns approximately 25 per cent of Good Energy, had put in three non-binding offers for the remainder of its rival. The latest bid of 340 pence per share values Good Energy at £59.5 million.

On 22 July, Ecotricity made a firm £45 million cash offer to buy the 75 per cent of shares it does not already own.