Harmony Energy Income Trust and Foresight Group LLP have announced an agreement on the financial terms of a potential acquisition that would value the renewable energy company at £190.8 million.
The offer is the result of an asset sale process announced by Harmony Energy Income Trust last year that aimed to dispose of some or all of Harmony’s renewable energy battery storage portfolio.
Under the possible cash offer, HEIT shareholders would receive 84.0 pence per share, representing a significant 29% premium to the closing share price of 65.2 pence on 14 March 2025, and a substantial 76% premium compared to the share price on 29 May 2024, when HEIT’s asset sale process was first announced.
The asset sale process began after a period of poor Harmony Energy Income Trust share price performance and a reduction in the portfolio’s NAV.
Foresight Group, a leading investment manager specialising in real assets with extensive experience in energy transition and renewables, said it views HEIT’s battery energy storage system portfolio “to be highly complementary with Foresight’s strategic mandate and Foresight’s existing investments in renewable energy and storage.”
Foresight Group manages leading close-ended renewable energy vehicles, such as the Foresight Solar Fund and Foresight Environmental Infrastructure, formerly known as JLEN.
The HEIT Board believes Foresight’s offer “delivers a superior outcome for shareholders.”
In a show of confidence in the deal, Harmony Energy Limited has already provided an irrevocable undertaking to vote in favour of the firm offer, representing approximately 12.04% of HEIT’s issued ordinary share capital.