APR Energy share price soars amid takeover talks

Jessica Morris
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APR Energy rents out turbines and generators (Source: Getty)

Shares in struggling temporary power provider APR Energy shot up as much as 90 per cent today after the company revealed it was in takeover talks.

The London-listed firm, which rents out turbines and generators, usually in developing countries, said it was in talks with a group of investors comprising Fairfax Financial, Acon Investments, and Albright Capital Management.

"At this stage, there can be no certainty that any offer will be made nor as to the terms on which any such offer might be made. A further announcement will be made as appropriate," APR Energy said in a statement.

Read more: APR shares run out of steam on profit warning

APR Energy has issued two profit warnings this year, partly due to the suspension of its Libya contract which accounted for more than a third of its revenue in 2014.

There is a demand for temporary energy in developing countries where infrastructure networks are not always sufficient, for large construction projects for example. But it also leaves APR exposed to the emerging market slowdown as well as political volatility in some of the countries it operates in.

The company's shares were last trading up 72.65 per cent.

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