The Contact Energy Ltd (ASX: CEN) share price could attract attention today after the company announced a non-binding offer to acquire the remaining stake in King Country Energy for approximately $47 million. If successful, the move would see Contact take full ownership of all five King Country Energy hydropower stations.
What did Contact Energy report?
- Contact has offered to buy the remaining 24.98% of King Country Energy from King Country Trust for around $47 million.
- The purchase, if finalised, would give Contact full ownership of five hydropower stations with 53MW installed capacity.
- The consideration is expected to be paid in scrip (new Contact shares issued to the Trust or its nominee).
- Consultation and review will occur before any deal is finalised, with completion targeted for Q2 CY26.
What else do investors need to know?
Contact already operates and maintains King Country Energy’s five hydropower stations, supplying renewable power mainly in the King Country and Horowhenua regions. Full ownership would streamline operations and integrate King Country Energy’s assets under the Contact umbrella.
Before the deal can proceed, King Country Trust will run a public consultation and special review, as required by their trust deed. This process is expected to last around a month, and any agreement remains subject to approval from both parties.
What’s next for Contact Energy?
The next step is the Trust’s public consultation, which will help inform its decision on the offer. If both parties agree, a sale and purchase agreement could be signed and completed in the second quarter of calendar year 2026.
If finalised, Contact Energy will issue new shares as payment, consolidating all King Country Energy operations and assets under its direct control. Investors should watch for further updates as the review and consultation progress.
Contact Energy share price snapshot
Over the past 12 months, Contact Energy shares have risen 1%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 4% over the same period.
The post Contact Energy offers $47m for full King Country Energy ownership appeared first on The Motley Fool Australia.
Should you invest $1,000 in Contact Energy Limited right now?
Before you buy Contact Energy Limited shares, consider this:
Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Contact Energy Limited wasn’t one of them.
The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
And right now, Scott thinks there are 5 stocks that may be better buys…
* Returns as of 1 Jan 2026
.custom-cta-button p {
margin-bottom: 0 !important;
}
More reading
- GPT Group delivers strong 2025 profit and distribution uplift
- BlueScope Steel books strong 1H FY26 profit and dividend surge
- Freightways Group lifts profit and dividend in HY26 results
- Ansell shares: earnings jump and dividend rises in FY26 half-year
- The a2 Milk Company impresses with 1H26 earningsâshares in focus
Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.