From an article.."Genex Power’s 7.72 per cent shareholder...

From an article..

"Genex Power’s 7.72 per cent shareholder J-Power and its bankers at Macquarie Capital have baked in two safeguards in their Monday morning bid to combat Skip Capital’s 19.99 per cent stake.

Genex is building the Kidston Clean Energy Hub on the site of the old Kidston gold mine.

J-Power’s put forward a dual-track bid. First, there’s the scheme bid at 27.5¢ per Genex share which, if implemented, would give it 100 per cent of the company. But it will also concurrently make an off-market takeover bid at a slightly reduced offer price of 27¢ a share, subject to a minimum 50.1 per cent acceptance. Minter Ellison is providing legal advice to the bidder.

While J-Power stopped short of naming Scott Farquhar’s Skip Capital as the reason, it’s clear that’s what its advisers were thinking of when they rebooted the dual-track bid structure seen at Azure Minerals late last year.

Skip EIF Enterprises Pty Ltd owns 19.99 per cent of Genex and in 2022, lobbed a bid to buy it for 25¢ a share with Stonepeak Partners before walking away. Of note, it hasn’t yet committed its stake to supporting J-Power’s bid.

The second set of safeguards – no talk, no shop, no DD – is much more customary. But Genex’s ASX announcement called out Skip and related entities as parties with whom interaction is prohibited during the four-week exclusive due diligence.

To be clear, there’s no suggestion Skip or another interloper is about to hit back with a competing proposal, but J-Power is watching its back. It’s already a 50 per cent partner in Genex’s Kidston Stage 3 Wind and Bulli Creek projects and provided it with a $35 million loan facility last year.

As for Skip, it would be interesting to see what it does with its 19.99 per cent stake. Selling into J-Power’s bid should get some tongues wagging on the Atlassian co-founder’s ambitions to support energy transition.

“We have been a supportive shareholder of Genex, and we believe that long-term, private capital can help the company reach its full potential,” Kim Jackson said at the time.

Goldman Sachs is advising Genex."