Sydney Airport has received an unsolicited, indicative, conditional and non-binding proposal from a consortium of infrastructure investors to acquire the company.
In an ASX announcement this morning, Sydney Airport said the consortium’s takeover offer is by way of a scheme of arrangement and trust scheme for 100 per cent of stapled securities in the company at an indicative price of $8.25 each, which equates to a valuation of more than $22 billion.
The consortium comprises IFM Investors as trustee for IFM Australian Infrastructure Fund, Conyers Trust Company as trustee for IFM Global Infrastructure Fund, QSuper Board as trustee for QSuper, and Global Infrastructure Management LLC.
The proposal is subject to a number of conditions, with Sydney Airport now assessing the proposal with the help of Barrenjoey and UBS as its financial advisers, and Allens as its legal adviser.
Sydney Airport is Australia’s largest airport and is a major gateway to international travel in and out of the country.
The company noted the indicative price of the proposal is below where its security price traded prior to the COVID-19 pandemic.
“The boards are undertaking detailed analysis of, amongst other things, whether the proposal is reflective of the underlying value of the airport, given its long-term remaining concession and the expected short-term impact of the pandemic,” it said.
“The boards will update security holders accordingly. Sydney Airport security holders do not need to take any action in relation to the proposal at this stage. There is no certainty that the proposal will result in a transaction.”
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