The $NZ2.96 billion ($2.7 billion) price tag paid by AGL Energy’s renewable energy fund and Mercury NZ to snare Tilt Renewables against competition from multiple rivals is evidence of keen appetite for renewable energy M&A in the growing market, says stockbroker Morgans.

Powering Australian Renewables (PowAR), which is 20 per cent owned by AGL alongside partners QIC and the Future Fund, and Mercury will pay $NZ7.80 per share in cash for Tilt, which owns operating wind farms in Australia and New Zealand as well as a large and varied range of undeveloped projects.