LONDON (ShareCast) - Renewable energy producer Econergy International has agreed a £27m all share takeover bid from Trading Emissions, it emerged this afternoon.

Econergy shareholders will receive 0.233 shares in the firm set up to invest in environmental and emissions assets for every Econergy share held, although a 30p cash alternative is available.

Today’s deal represents a 32% premium to the closing price of 23.5p on 9 April, the day before Econergy confirmed it had received a number of preliminary bid approaches.

“The independent Econergy directors have explored a number of options over the last few months to realise value for Econergy's shareholders whilst increasing the amount of short and medium term finance available to the company,” said Econergy boss Thomas Stoner.

“We have concluded that, in the current economic environment, Trading Emissions' proposal delivers the most certain outcome for the company and its stakeholders.”

Plans to either sell or merge the company were announced last month after the Tchenguiz Family Trust, which owned almost 16m shares, or 18% of the firm in the form of contracts for difference, said it wanted to sell up.

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