Spanish utility Iberdrola said on Thursday it is launching a bid to acquire the remaining 18.4% stake in its U.S. subsidiary Avangrid that it does not hold in a deal that would amount to about $2.49 billion.
Iberdrola said it is offering $34.25 per share, which represents a premium of approximately 10% compared to the weighted average share price of the last 30 days.
"The objective of this transaction is to increase exposure to the networks business in the United States at a key time for Iberdrola, which wants to grow in markets with high credit ratings and in regulated businesses such as networks," the Spanish company said in a statement.
Avangrid currently has $44 billion in assets and operations in 24 U.S. states.
(Reuters - Reporting by Jakub Olesiuk and Joan Faus; Editing by Susan Fenton)