Two Calgary, Alberta-based companies, TransAlta (NYSE:TAC) and Canadian Hydro Developers (TYSX:KHD), appear to have made amends with a sweetened deal.

The companies jointly said today they have entered into a definitive pre-acquisition agreement. TransAlta plans to amend its existing share offer to acquire all the issued and outstanding common shares of Canadian Hydro for C$5.25 per share in cash, for a total value of C$1.6 billion.