AustralianSuper rejects 'lowball' revised Origin Energy offer
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More news: Australia's largest super fund and the biggest Origin Energy shareholder AustralianSuper said it will reject the latest offer from a Brookfield-led bidding consortium to buy the energy giant.
What they said: "This latest low-ball offer strengthens AustralianSuper’s view that the offer remains substantially below our estimate of Origin’s long-term value," the super fund said in a statement.
"AustralianSuper is resolute the value and future value of Origin is better in the hands of AustralianSuper members and other shareholders than a private equity consortium planning to shortchange them."
Origin chair Perkins says new takeover offer is 'inferior'
More news: Origin Energy chair Scott Perkins has told shareholders a new, secondary takeover offer from the Brookfield-led bidding consortium is "inferior" to the current offer. Perkins said the board had "significant reservations" about the new deal's complexity, conditionality and tax implications for shareholders, adding that the board needed time to assess the proposal.
What they said: "While the Alternative Transaction may present an additional opportunity for shareholders to receive cash value for their shares, the board notes that the transaction appears inferior to the existing Scheme," Perkins told shareholders.
Origin's takeover vote adjourned
More news: A shareholder vote on the takeover of energy giant Origin will be adjourned to mull a fresh offer from the Brookfield-led bidding consortium. Under the new proposal, institutional investors will be given the opportunity to reinvest in the Brookfield-owned Energy Markets business, alongside the cash payment of $9.43 per Origin share. If that offer fails to win the required votes, the consortium is proposing a sale of Energy Markets to Brookfield for $12.3 billion, and a subsequent off market takeover of Origin by EIG for $9.08, including special dividends and resultant franking credits. Today's 2pm scheme meeting will likely be adjourned to 4 December.
Origin Energy halts trading amid reports of revised takeover offer
The news: Origin Energy has paused trading of its shares due to a pending announcement on the takeover bid by Brookfield and EIG.
The numbers: Shareholders are due to meet in Sydney on Thursday to vote on an offer of $9.53 per share. But the Australian Financial Review has reported that the consortium has made a fresh offer, in view of opposition from major Origin shareholder AustralianSuper, and the vote will likely be delayed. Origin shares on the ASX closed at $8.42 each on Wednesday.
The context: Origin had earlier encouraged shareholders to accept the $9.53 per share offer. An independent expert hired by Origin valued shares as being worth between $8.45 and $9.48 each in June. But its largest shareholder AustralianSuper has said the ongoing energy transition has enhanced the value of Origin and that it would vote against the proposal.
Origin shares will resume trading once its ASX announcement is published.
