Cash offer at 42% premium to last closing price on Friday
Offer contingent on UniSuper reinvesting 15% equity stake
SYDNEY, July 5 (Reuters) - A group of infrastructure investors has proposed one of Australia s biggest-ever buyouts, a A$22.26 billion ($16.7 billion) purchase of Sydney Airport Holdings Pty Ltd, taking a longer-term view on the pandemic-battered travel sector.
The proposal comes as record-low interest rates prompt pension funds and their investment managers to chase higher yields. The purchase, with an enterprise value of A$30 billion including debt, would allow them to reap financial benefits when borders reopen and travel demand rebounds.
If successful, the purchase of Australia s biggest airport would be one of the country s largest-ever by enterprise value in U.S. dollar terms, on par with the $22 billion purchase of mall operator Westfield Group by Unibail-Rodamco in 2017, Refinitiv data showed.
Publishing date: Jul 04, 2021 • 6 hours ago • 3 minute read •
Article content
SYDNEY Sydney Airport Holdings Pty Ltd on Monday said a group of infrastructure investors has proposed a A$22.26 billion ($16.7 billion) buyout of the operator of Australia’s biggest airport, sending its shares surging albeit short of the offer price.
If successful, the deal would be Australia’s biggest this year, eclipsing the $8.1 billion spin-off of Endeavour Group Ltd and Star Entertainment Group Ltd’s $7.3 billion bid for Crown Resorts Ltd.
We apologize, but this video has failed to load.
Try refreshing your browser, or Sydney Airport gets $16.7 bln buyout bid; stock surge misses offer price Back to video
Sydney Airport gets a $ 16.7 billion purchase offer; the rise in stock is the price offered by Reuters
By Jamie Freed and Scott Murdoch
SYDNEY (Reuters) -Sydney Airport Holdings Pty Ltd said on Monday that a group of infrastructure investors had proposed a $ 22.266 billion ($ 16.7 billion) purchase from Australia’s largest airport operator, despite its shares being lower than the bid price.
If successful, it would be Australia’s largest deal this year, surpassing Endeavor Group Ltd and Star Entertainment Group Ltd’s $ 7.3 billion bid for Crown Resorts Ltd.
The Sydney Aviation Alliance – a consortium of IFM Investors, QSuper and Global Infrastructure Partners – has offered $ 8.25 per share at Sydney Airport, a 42% premium until the stock closes on Friday.
Sydney Airport gets $16.7 billion buyout bid as investors take longer-term view on travel
FILE PHOTO: Passengers walk with their luggage towards departure gates at Sydney International Airport in Australia, October 25, 2017. Picture taken October 25, 2017. REUTERS/Steven Saphore
July 5, 2021
By Jamie Freed and Scott Murdoch
SYDNEY (Reuters) -A group of infrastructure investors has proposed one of Australia’s biggest-ever buyouts, a A$22.26 billion ($16.7 billion) purchase of Sydney Airport Holdings Pty Ltd, taking a longer-term view on the pandemic-battered travel sector.
The proposal comes as record-low interest rates prompt pension funds and their investment managers to chase higher yields. The purchase, with an enterprise value of A$30 billion including debt, would allow them to reap financial benefits when borders reopen and travel demand rebounds.
Publishing date: Jul 05, 2021 • 13 hours ago • 3 minute read •
Article content
SYDNEY A group of infrastructure investors has proposed a A$22.26 billion ($16.7 billion) buyout of Sydney Airport Holdings Pty Ltd, the operator of Australia’s biggest airport, taking a longer-term view on the pandemic-battered travel sector.
Record-low interest rates have led pension funds and their investment managers to chase higher yields. The purchase, with an enterprise value of A$30 billion including debt, would allow them to reap financial benefits when borders reopen and travel demand rebounds.
We apologize, but this video has failed to load.
Try refreshing your browser, or
Article content