AGL, Alinta formalise merger deal

A MERGER implementation agreement was yesterday signed between Australian Gas Light Company and Western Australian utility Alinta Ltd.
AGL, Alinta formalise merger deal AGL, Alinta formalise merger deal AGL, Alinta formalise merger deal AGL, Alinta formalise merger deal AGL, Alinta formalise merger deal

The MIA formalises the binding heads of agreement signed in late April that agrees to merge the two companies’ infrastructure businesses.

Once the transaction is complete, AGL shareholders will wholly-own the company’s energy business, which will include its current assets and an initial 33% interest – with an option to move to 100% in five years – in Alinta’s Western Australian retail and cogeneration business.

Meanwhile, the enlarged Alinta will be 54% owned by its shareholders and 46% owned by AGL investors. In addition to its existing infrastructure assets, the expanded Alinta will own AGL’s infrastructure assets and asset management business, Agility.

Full details of the MIA will be released to the ASX shortly, Alinta said.

Both companies will now start preparing documents relating to the scheme of arrangement shareholder meetings and court approvals, in addition to supporting legal documentation.

As a result, AGL’s and Alinta’s respective shareholder meetings are expected to occur mid to early September, with the required court approvals to follow in early October.

loader