The price of United Energy Group Plc with ISIN DE000A0MSRR3 should rise massively, if it is true what I learn recently from various sources out of Banja Luka based in the republic of Srpska http://en.wikipedia.org/wiki/Republika_Srpska. In a tender offer RWE (http://www.rwe.com/web/cms/en/8/rwe/ the German one of the biggest German electric utilities company based in Essen, North Rhine-Westphalia http://en.wikipedia.org/wiki/RWE) has pitched for the project to build 4 hydropower plants for the republic of Srpska. The official statement is expected on www.capital.ba in the near future. United Energy Group Plc is a local and direct consultant for RWE. In addition RWE is a creditor of UEG. In the deal negotiated is a joint venture between RWE and UEG.
As a local partner and direct adviser of RWE, UEG is expected to have received a 15% participation or stake of the project. However UEG is expected to run and maintain the hydropower plants. Due to the fact that RWE is a creditor of United Energy Group Plc the motivation for RWE for an inexpensive takeover is very high. In addition a takeover would guarantee the direct relationship with RWE through UEG with the contracting authority.