Brookfield Asset Management has hung a possible price tag on its proposed takeover of TerraForm Power Inc., at $13 per share, a penny under Thursday’s market closing price, the Wall Street Journal reported on Saturday. The overture from Brookfield and its deal ally, the hedge fund Appaloosa Management, spurred a slight uptick in trading in TerraForm Power, a publicly traded “yieldco” that owns renewable energy assets, which gained about 3 percent in the hours after the Friday announcement with the Securities and Exchange Commission. Brookfield has been openly pursuing TerraForm Power since June. In a letter emailed on Thursday to the independent directors of TerraForm Power, Brookfield urged swift action to stay ahead of bondholders, and, potentially, bankruptcy. By Dec. 6, bondholders could be in position to push TerraForm Power into bankruptcy, Brookfield wrote. That is due largely to a running event of default on debt related to the company’s failure to file audited financial statements.
