Shares in Good Energy surged 17% after it revealed it had received a bid approach.
No details on the putative bid were issued other than it is evaluating the offer and will issue a statement 'when appropriate'.
In addition, the energy provider said it is to acquire Hampshire-focused rooftop solar power generator Empower Energy for £7 million mostly in cash with a further £1 million dependent on performance.
In the year to August 2024, Empower made pre-tax profits of £1.8 million on sales of £10.1 million.
Nigel Pocklington, Good Energy’s chief executive, said: "Businesses are increasingly recognising that the commercial rationale for installing solar is strong, even before you consider the associated benefits of carbon reduction.
“With energy costs remaining high, businesses and organisations with rooftop real estate can achieve excellent returns on investment.
"Good Energy is already providing high quality, consultative commercial solar installation services to customers in the South, and through Empower joining the Group we are stepping this up further.
"As the fourth solar acquisition Good Energy has made in 18 months and the second in only weeks, we have rapidly scaled our service coverage and capability.”
Shares in Good Energy rose 17% to 345p.