In today’s briefing:
- OceanaGold (OGC CN) Claims Ausgold (AUC AU). Clean Deal
- EQT Holdings (EQT AU): TPG’s NBIO Is Light
- Special Situation Investments: Takeover Bids, Privatization Offers, and Regulatory Updates
- Reliance Worldwide (RWC AU): Brookfield’s NBIO Is Light but Likely Done
- EQT Holdings (EQT AU) Ponders TPG’s A$24.55/Share Indicative (& Opportunistic) Terms
- CSL Ltd (CSL AU): Initial Sign of Recovery or a Dead Cat Bounce?
OceanaGold (OGC CN) Claims Ausgold (AUC AU). Clean Deal
- Gold fever continues Down Under as Ausgold Ltd (AUC AU) enters into a Scheme with OceanaGold Corp (OGC CN).
- OceanaGold is offering 0.03365 new shares for each Ausgold share, or an indicative Offer price of A$1.36/share, a 28% premium. A capped cash option is afforded, also at A$1.36/share.
- Post merger, Ausgold shareholders would hold ~7.9% (if 100% scrip consideration). A key shareholder and directors (collectively holding 9.1%) are supportive. December completion expected. Clean deal. Interlopers possible.
EQT Holdings (EQT AU): TPG’s NBIO Is Light
- EQT Holdings (EQT AU) disclosed a non-binding proposal from TPG at A$24.55, a 41.8% premium to the undisturbed price of A$17.31.
- The timing is opportunistic, as the shares are down 39% over the last twelve months due to ASIC litigation. The offer is below sell-side price targets and the 52-week high.
- TPG has requested a period of exclusivity to conduct due diligence. The Board should offer limited due diligence to facilitate a higher offer.
Special Situation Investments: Takeover Bids, Privatization Offers, and Regulatory Updates
- Cleanaway Waste Management received a non-binding takeover proposal from EQT at A$3.13/share, with an 18% spread.
- Priority Technology Holdings is reviewing a $6.00-$6.15/share privatization offer, with a 14% spread currently.
- DoubleDown Interactive’s Q2 results showed no update on the offer review; stock trades 11% above the offer.
Reliance Worldwide (RWC AU): Brookfield’s NBIO Is Light but Likely Done
- Reliance Worldwide Corp (RWC AU) disclosed a non-binding proposal from Brookfield at A$4.75, a 31.6% premium to the undisturbed price.
- The Board has entered into a process deed providing Brookfield with exclusivity for four weeks, from 17 August to 15 September.
- The timing is opportunistic (given depressed earnings and the outlook) and is light relative to peers’ multiples. However, the lack of a credible alternative path suggests low resistance from shareholders.
EQT Holdings (EQT AU) Ponders TPG’s A$24.55/Share Indicative (& Opportunistic) Terms
- EQT Holdings (EQT AU), a corporate trustee and fiduciary-services outfit, announced yesterday morning a NBIO from TPG of A$24.55/share, by way of a Scheme.
- TPG has requested four weeks of exclusive due diligence to further its proposal.
- EQT is evaluating the proposal. Given the ASIC litigation and super-exit restructuring costs, I’d tilt opportunistic, and EQT rejects. But that’s not to suggest TPG will reload higher.
CSL Ltd (CSL AU): Initial Sign of Recovery or a Dead Cat Bounce?
- CSL Ltd (CSL AU) announced FY26 result, reporting revenue of $15.8B, down 1% YoY. After one-off restructuring costs and impairments, the company reported a net loss of $2.6B.
- In FY27, CSL expects underlying NPAT growth of 5% on flat revenue. NPAT outlook exceeds market consensus expectations, thereby cementing CSL’s core operational rebound.
- Despite CSL Vifor headwinds (revenue decline of 25% YoY mainly due to generic competition in iron products), Behring and Seqirus are expected to return to growth path.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Data and News
- ✓ Events & Webinars
