Gas, Hydroelectric, Nuclear, Renewables, Wind

Siemens & MHI sweeten the pot on offer for Alstom

Siemens Mitsubishi Heavy Industries MHI revise offer for Alstom General Electric GE power grid hydropower offshore wind nuclear steam turbines

Siemens (NYSE: SI) and Mitsubishi Heavy Industries (MHI) sent in a revised offer for Alstom after General Electric (GE, NYSE: GE) made changes to its initial bid for the energy company.

Siemens and MHI proposed to inject an additional cash contribution of $1.6 billion, increasing their valuation of Alstom’s energy business to $19.9 billion, according to The Wall Street Journal. The companies’ initial offer was for $12.2 billion. Siemens also offered to enter a transportation and logistics joint venture with Alstom.

Alstom said in the article that it would not comment on either bid until a board’s meeting to discuss the offers on June 23.

GE said Thursday its new offer revises the $17 billion cash offer it made in April, and added new guarantees on concerns over jobs and decision-making, according to The Associated Press. The revised proposal also calls for GE and Alstom to set up three 50-50 joint ventures: one for the power grid businesses, one for the offshore wind and hydropower units and one for the nuclear steam turbines business, according to The Associated Press. Siemens and MHI also proposed to form joint ventures with Alstom’s steam, grid and hydro businesses.