Renewi PLC (LSE:RWI) shares rocketed 40% to 712p after Macquarie Asset Management said it is "considering" a possible £636 million cash offer for the waste management group.
A proposed offer of 775p per share on Monday 25 September 2023 was rejected by the Renewi board, the investment arm of the Australian bank confirmed in a statement this morning, turning it into a semi-hostile situation.
Macquarie said its proposed takeover offer was at a premium of over 50% to Renewi's last closing price of 509p and its three-month average price.
However, Renewi's shares have been higher in the past two years, spiking above 800p in late 2021 and summer last year.
"Macquarie invites the board to engage constructively to agree the terms of a recommended transaction to be put forward to Renewi's shareholders," the statement said, also highlighting the "difficult macroeconomic environment, which is impacting different sectors including waste management, and the impact of such an environment on the value of the company".
Renewi is positioning itself as a waste-to-product company in the centre of the circular economy movement.