ACCC extends review of $18.7b Origin takeover

The news: The competition watchdog has extended to 28 September the review period for the proposed takeover of Origin Energy by Canadian asset giant Brookfield and EIG’s MidOcean.

The numbers: The deal, offering slightly over $8.90 per share, is worth $18.7 billion. Under the deal, Brookfield has promised to build 14 gigawatts of new renewable energy infrastructure by 2033, four more than Origin otherwise would have.

The context: The ACCC's decision was originally due by 4 September, but the regulator requested an extension to give it more time to make a determination, which was agreed to by Brookfield and EIG. The deal has raised competition concerns, as different Brookfield-related entities own a controlling stake in power and gas distributor AusNet Services and a 50% stake in smart meter company Intellihub, while a co-underwriter in Brookfield LP has an indirect interest in Jemena.