PARIS (Reuters) - French oil company Total (PA:TOTF) plans to buy battery manufacturer Saft (PA:S1A), extending its push into new energy technologies, the companies said in a joint statement.
Following the signature of an agreement between the two companies, Total has filed a friendly tender offer on Saft shares with French market regulator AMF.
Total will offer 36.5 euros per Saft share, ex-dividend of 0.85 euros per share, valuing Saft's equity at 950 million euros. It said the offer price represents a 38.3 percent premium above Saft's closing share price of 26.4 euros on May 6.
"The combination of Saft and Total will enable Saft to become the group's spearhead in electricity storage," Total Chief Executive Patrick Pouyanné said.
He added the acquisition is part of Total's ambition to accelerate its development in the fields of renewable energy and electricity, initiated in 2011 with the acquisition of SunPower.
Last month, Total announced the creation of a gas, renewables and power division to help drive its ambition to become a top renewables and electricity trading player within 20 years.
Total said Saft's board had unanimously approved its takeover and that it had announced its intention to recommend Saft shareholders tender their shares.
"I am convinced that Total will provide Saft with the required expertise and resources needed for its future development," Saft CEO Ghislain Lescuyer said.
