TERP - Why TerraForm Power Stock Soared 17.5% in January
Shares of TerraForm Power (NASDAQ: TERP) leaped 17.5% in January, according to data provided by S&P Global Market Intelligence. Powering the wind and solar energy company's surge was a buyout proposal from Brookfield Renewable Partners (NYSE: BEP).
Brookfield Renewable Partners offered to acquire all of the outstanding shares of TerraForm Power that it doesn't already own in an all-stock deal valuing the company at $17.31 per share. That price was an 11% premium to TerraForm's closing price before it received the offer. Under the terms of the proposed transaction, Brookfield would exchange 0.36 shares of a newly formed corporation for each of TerraForm's shares it doesn't currently control.
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