Frontier Energy Limited (ASX:FHE) has inked its intention to takeover Waroona Energy Inc. (TSXV:WHE) under a deal to merge their renewable energy ventures in the South West. The two renewable energy-focused developers signed a letter of intent under which Frontier would acquire the remaining 80% of shares in Waroona that it does not already hold. Frontier is Waroona's largest shareholder with a 20% stake in the company.

The bidder would acquire a total of 622.5 million shares in Waroona in exchange for $56.5 million worth of its own shares.