Ayala unit, Spanish rival neck and neck in race for Aussie firm
Ayala group affiliate UAC Energy Holdings Pty Ltd. is caught up in an escalating bidding war against Spanish utility giant Iberdrola SA for the takeover of Australian renewable energy firm Infigen Energy Ltd.
UAC is owned by AC Energy and UPCAC Renewables Australia, which is a joint venture of AC Energy with the UPC Renewables Group.
Listed in the Australian Securities Exchange, Infigen owns and operates a 670-megawatt portfolio of wind farms all over Australia and also has gas, battery and contracted assets.
Parent firm Ayala Corp. said in a disclosure UAC has lodged with the Australian Securities and Investments Commission a supplementary bidder’s statement in relation to an off-market takeover bid for all the stapled securities in Infigen.
Stapled securities are two or more different securities contractually bound together, such that these cannot be sold separately.
UAC is offering 86 Australian cents per stapled security. Also, UAC—whose offer is now wholly unconditional—is willing to advance payment terms in 10 days after an agreement is made.UAC first made an offer at 80 cents, but Iberdrola countered with 86 cents. Iberdrola’s updated offer is at 89 cents per stapled security.
The Ayala affiliate’s offer is open until July 24 while that of Iberdrola is good until July 30.
Initially, Infigen’s board recommended that security holders reject UAC’s offer and accept that of Iberdrola.
But with the new round of offers, the Infigen’s board advised security holders to “take no action” while it was considering the latest developments.
UAC’s first offer was made along with the acquisition of 124.48 million stapled securities for A$90.4 million—73 cents per stapled security—or a 12.8-percent stake in Infigen.
UAC wants to acquire up to 846.2 million more stapled securities in Infigen. —Ronnel W. Domingo INQ
