Shares of Alter NRG (TSX:NRG) are racing today after the company announced it has agreed to be taken over by Harvest International New Energy Inc.
Alter NRG’s board has unanimously approved the takeover, which is priced at $5.00 a share and values the company at about $147-million. The price is a 160% premium to the company’s to the company’s 20-day volume-weighted average price.
Harvest is a Delaware corporation that is wholly owned by China’s Sunshine Kaidi New Energy Group.
Calgary-based Alter NRG is a leader in plasma gasification, a technology that converts various form of waste into synthesis gas, a fuel that is often used in internal combustion engines.
At press time, shares of Alter NRG were up 140.9% to $4.65. The stock closed at $1.93 on Thursday.