Drax Group plc ( (GB:DRX) ) just unveiled an update.
Drax Group plc, through its subsidiary Drax BESS Holdco Limited, has announced a recommended cash acquisition of Harmony Energy Income Trust Plc (HEIT) valued at approximately £199.9 million. The acquisition, which will be executed via a scheme of arrangement, aims to enhance Drax’s existing FlexGen portfolio by adding HEIT’s battery energy storage system assets. This strategic move is expected to provide Drax with increased market opportunities and operational efficiencies, while also delivering a return on investment that exceeds its target weighted average cost of capital. The acquisition has received support from HEIT shareholders representing 19.6% of its share capital, and is anticipated to become effective by the end of Q2 2025, pending regulatory and shareholder approvals.
More about Drax Group plc
Drax Group plc is a renewable energy company involved in renewable power generation, sustainable biomass production, and the sale of renewable electricity to businesses. It operates a diverse portfolio of sustainable biomass, hydro-electric, and pumped storage hydro assets in England and Scotland, and is developing gas turbine assets in the UK. Drax also has a biomass pellet production business with operations in North America, Asia, and Europe, and employs over 3,200 people globally.
YTD Price Performance: -9.41%
Average Trading Volume: 1,581,148
Technical Sentiment Signal: Sell
Current Market Cap: £2.13B
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