![edpPylon](/images/news/edpPylon.jpg)
EDP shares have risen 13.6% since the announcement of the bid, the highest share price since September 2013.
One of two events is expected by the market, China's Three Gorges (CTG) will raise its offer or, another bidder will enter the arena.
António Mexia, the president of EDP, has said all along that China’s bid does not reflect the value of the company. The shares ended trading today at €3.51 compared to an offer price of €3.26.
The market has valued the company at an 8.4% premium to the bid price, a sign of investor confidence that there will be an increase in the share price, whatever now happens.
Some EDP shareholders believe that Mexia will hold out for a 20% to 30% premium, "The market gives some support to this prospect,” said CaixaBank-BPI analysts.
The Chinese will have to send a proposal within 20 days of its preliminary announcement on May 11 and EDP’s board has to give its opinion within eight days.
EDP is in a strong position as the market has valued the group at €12.57 billion against the Chinese valuation of €11.9 billion.
The Chinese also have launched an offer for EDP Renováveis, at €7.33 per share. These now are trading at €8.235, presenting the bidder with limited and expensive options.