At C$5.25 ($4.97) a share in cash, TransAlta's offer values Canadian Hydro at C$755m, sharply above the C$4.55 ($4.30) a share in its original bid earlier this year. Including assumed debt, the deal has a total value of C$1.6bn.
The transaction requires approval of two thirds of holders of CHD stock.
CHD closed at C$5.22 a share on the Toronto Stock Exchange on Monday.
CHD's
