UPDATE: Piper Jaffray Downgrades Telvent to Neutral

Piper Jaffray is out with its report today on Telvent TLVT, downgrading TLVT from Overweight to Neutral. In a note to clients, Piper Jaffray writes, "We are lowering our investment rating on TLVT shares from Overweight to Neutral following Schneider Electric's takeout offer at $40/share as we believe the likelihood of a competing bid is low considering Abengoa's consent to the existing tender offer. Abengoa, a 40% owner of TLVT, has publicly endorsed the sale to Schneider Electric. We expect Schneider Electric's cash tender offer to be completed on schedule in 3Q11 and believe further sector consolidation is likely to occur over the next 12-18 months." At the time of posting, shares of TLVT were trading pre-market at $39.53, down 0.68% from Friday's close.