The new bid is understood to value Sydney Airport at about $8.75 a share, which is significantly higher than its initial offer at $8.25 and its first revised bid of $8.45. James Brickwood. Greencape Capital investor Steven Haralambidis said he had not sold any of the airports stock over the past week and that he expected the spread between the $8.75 per share offer and Sydney Airports current share price, which dropped 1.7 per cent on Tuesday to $8.23, to tighten. The Melbourne Airport's 12 megawatt (MW) solar farm is the largest of its kind at any Australian airport. Sydney Airport noted the offer was below its pre-pandemic share price and said it would review the proposal, which is contingent on granting due diligence and recommending it to shareholders in the absence of a superior offer. In Sustainalytics opinion, the loan aligns with the Loan Markets Associations Sustainability Linked Loan Principles. The numbers of investors holding stock is important because under the scheme of arrangement transaction proposed by the IFM consortium, at least 50 per cent of the number of shareholders who turn up to vote on the deal must approve it for the deal to succeed. Help using this website - Accessibility statement, The takeover parties are offering $8.75 per share, for preventing the double taxation of investors, has been backed by some institutional investors, proposed cash and stock takeover of AusNet Services, But an earlier $9.6 billion all-cash bid by Canadas Brookfield Infrastructure. Krolls valuation assumes that Sydney Airports domestic passenger numbers return to pre-pandemic levels by 2023 and international passenger numbers return by 2024. UniSuper chief investment officer John Pearce said the superannuation fund was always looking to buy and hold quality assets at a reasonable price.. IFM, run by chief executive David Neal and owned by 26 Australian industry superannuation funds, has been on the hunt for deals and launched an $8 billion bid for a 23 per cent stake in Spanish gas and electricity group Naturgy Energy early this year which has met a cool reception from shareholders. 2013 Sydney Airport Tax Statement Guide. 2012 Sydney Airport Tax Statement Guide. A $23.6 billion cash takeover offer is appealing to Sydney Airport investors who are uncertain about how fast domestic and international flights will resume. This is perhaps where a bid offers investors with some valuation uncertainty.. Sydney Airport acknowledges the Traditional Custodians of the lands, waterways and skyways where we work and in which we live. The airport also makes a significant contribution to the local and national economies. Understanding and embracing change will shape our future and drive our strategic thinking. Theres a lot more value in this asset than the market has been ascribing, Mr Clark said. AustralianSuper is part of the consortium trying to buy Sydney Airport and holds stakes in several other big infrastructure assets, including tollroads managed by Transurban and NSWs Port Botany. Analysts also believe the $8.75 per share offer is fair. That's the first phase. Other states have closed borders to Sydney residents. Sydney Airports SLL represents the first syndicated SLL in Australia, largest syndicated SLL across the Asia Pacific and largest syndicated airport SLL globally. Only a handful of airports globally are still listed on securities exchanges, including Auckland Airport, Frankfurt Airport in Germany and Paris Charles de Gaulle and Orly airports. If the deal completes, it would be the biggest ever cash takeover in Australias history. The indicative price is below where Sydney Airports security price traded before the pandemic.. IFM, QSuper, Global Infrastructure Partners behind offer, Cash offer at 42% premium to last closing price on Friday, Offer contingent on UniSuper reinvesting 15% equity stake. "In securing WSI, our new airport has joined . Theres a lot more value in this asset than the market has been ascribing. UniSuper said it saw merit in the airport being converted from a publicly listed company to an unlisted company and that it had a favourable view of the consortium partners. A shift to private ownership would benefit UniSuper because Sydney Airport would be de-listed, reducing costs, and it would no longer have to mark down the value of its investment when the airports stock tumbles, as it has during the pandemic. QSuper owns a stake in Britain's Heathrow Airport whereas Global Infrastructure is invested in that country's Gatwick and London City airports. Some Sydney Airport investors dont want it to be sold off to big funds. It would imply a $32 billion plus valuation for the airport owner, including debt. We also make a significant contribution to our local and national economies, generating $38 billion in economic activity a year. The Scheme Consideration was paid out on the implementation date, Wednesday 9 March 2022. We pay respect to Elders past, present and emerging, and recognise the continuation of cultural, spiritual and educational practices of First Nation peoples throughout Australia. The revised offer comes after a two-month tussle between the consortium and Sydney Airport. in-scope products. Operational efficiency and continuous improvement, Cyber security, technology and innovation. Sydney Airport Holdings said on Monday it has agreed to accept a A$23.6 billion ($17.5 billion) takeover bid from an infrastructure investor group in one of Australia's biggest buyouts. Hoxha Propertie investor. hit back at suggestions it exerts excessive influence. resume Sydney-Vancouver flights on December 17. Reuters, the news and media division of Thomson Reuters, is the worlds largest multimedia news provider, reaching billions of people worldwide every day. In May, Sydney Airport's international traffic was down more than 93% versus the same month of 2019, while domestic traffic was down 39.2%. Our financial results include half year (or interim) and full year results announcements and presentations including Sydney Airport's . UniSuper also has a favourable view of the consortium partners," the fund said. Sydney Airport did not pay a final dividend for 2020 after suffering a $145.6 million annual loss and is not planning to pay an interim dividend. The most comprehensive solution to manage all your complex and ever-expanding tax and compliance needs. Thats up from 14 in 2019 and is unsustainable Airservices Australia admits. Domestic travel has also been disrupted by a two-week lockdown in Sydney during the normally busy school holiday period, after an outbreak of the highly contagious Delta variant of COVID-19. The consortium requires UniSuper to retain as part of the takeover agreement so that it will have enough Australian-based owners to meet foreign ownership rules. James Brickwood. Barrenjoey, UBS and Allens are advising Sydney Airport. On 10 March 2021, the European Unions Sustainable Finance Disclosure Regulations (SFDR) became effective. IFM Investors has secured access to Sydney Airport's books with a revised bid valuing the airport owner at more than $32 billion. The consortium has not declared its offer to be final, which leaves the door open for negotiations for a higher price. Sydney Airport declined to comment. RBA. Follow the topics, people and companies that matter to you. International passengers are the most important source of Sydney Airports income. Ian Robilliard, who owns more than 14,000 shares with his wife, told The Australian Financial Review that while there may be a hiatus of several years in airline travel, he believed screening the health of travellers would eventually become as routine as increased security at airports following the September 11 terror attacks. Now, the visitors are greeted to the sight of boats stuck in a sea of invasive green water hyacinth weed. More than 7.5 million passengers passed through Sydney, Melbourne and Brisbane in January despite airfares remaining higher for longer. In Sustainalytics opinion, the loan aligns with the Loan Markets Association's Sustainability Linked Loan Principles. The industry leader for online information for tax, accounting and finance professionals. Macquarie Group divested its holdings in 2013 and UniSuper is now Sydney Airports biggest shareholder. Scott Murdoch has been a journalist for more than two decades working for Thomson Reuters and News Corp in Australia. Sydney Airports current Master Plan runs through to 2039. If this [asset] disappears, it will be gone, and along with virtually every other airport will be unable to be invested in by retail or institutional investors.. Wed hate to lose it because where do you put that money? Follow the topics, people and companies that matter to you. But . Sydney Aviation Alliance said it did not anticipate making substantive changes to the airport's management, services, operations or target credit ratings. Family Property investors we do Rent to Rent /Sublet and we are Landlords of properties in Luxury areas in UK and Overseas. He has specialised in financial journalism for most of his career and covers equity and debt capital markets across Asia and Australian M&A. While many big investment funds plan to accept a cash offer of $8.75 per share from a consortium led by IFM Investors and New Yorks Global Infrastructure Partners, five small investors have now gone public to say that they will reject it. Sydney Airport shareholders on Thursday were poised to approve a A$23.6 billion ($16.85 billion) cash takeover by infrastructure investors, though many small retail investors voted against . Picture taken October 25, 2017. It is our international gateway and an essential part of our transport network, connecting to more than 90 destinations around the world. In a statement, Sydney Airport . Planned improvements to the ground transport network to accommodate increased passenger, visitor, staff and freight traffic requirements to 2039 are also included. Help using this website - Accessibility statement. We recognise that the world around us is rapidly evolving. We know that getting a rail link to the airport is important. Sydney Airport, alongside other leased Federal airports in Australia, is subject to a planning framework in the Airports Act 1996. Both sides of the deal have spent ample time talking to Sydney Airports institutional investors. It's a great example of critical infrastructure an indicative offer priced at $8.25 per share. If youre taking a three-to-five-year view, personally I think you might be better going through some short-term pain for a better long-term outcome, he said. Sydney Airport acknowledges the Traditional Custodians of the lands, waterways and skyways where we work and in which we live. While we are of the belief international travel will return to pre-COVID levels in 2024, the trajectory of the recovery despite vaccination rates improving globally remains uncertain, JPMorgan said. Ben Clark, portfolio manager at TMS Capital, said he had sold half of his position in the airport very recently. If a proposed development has the potential to impact the environment, an environmental assessment must be undertaken. Access unmatched financial data, news and content in a highly-customised workflow experience on desktop, web and mobile. Mr Pinn also argues that privatisations and takeovers of the nations infrastructure assets are not fairly redistributing wealth among Australians because many of the funds buying them are foreign entities that take advantage of tax havens. I am one of those Sydney Airport investors who is not happy to exit Sydney Airport and wont be voting in favour, Michael Pinn, director of Pinn Deavin, a financial advisory group, told The Australian Financial Review. Sydney Airport, alongside other leased Federal airports in Australia, is subject to a planning framework in the Airports Act 1996. Sydney Airport is one of Australias most important pieces of infrastructure. Sydney Airport had asked institutional investors for time, while the bidders wanted the investors to pressure the board to accept the bid. Details on our contribution this year is available here. Sydney Airport Limited (ASX:SYD) received a lot of attention from a substantial price movement on the ASX in the over the last few months, increasing to A$7.03 at one point, and dropping to the. The biggest deal belongs to Westfield Corporation, which was acquired in a cash and scrip deal in 2018. The Sydney Airport board recommended shareholders vote to accept the offer. Sydney Airport, one of the few remaining airports still listed on a stock exchange anywhere in the world, has been snared by the global M&A boom after a group of big investors pounced on its pandemic-stricken share price to lob a $22 billion takeover bid. 2008 MAp Tax Statement Guide. SYDNEY, July 5 (Reuters) - A group of infrastructure investors has proposed one of Australia's biggest-ever buyouts, a A$22.26 billion ($16.7 billion) purchase of Sydney Airport Holdings Pty Ltd, taking a longer-term view on the pandemic-battered travel sector. Their offer is contingent on UniSuper, Sydney Airport's largest shareholder with a 15% stake, agreeing to reinvest its equity interest for an equivalent equity holding in the consortium's vehicle. The Omicron variant of COVID-19 has disrupted the aviation industrys recovery, with Virgin Australia suspending flights because of staff being ill with the virus or isolating. . With record-low interest rates, funds are looking at infrastructure investments for higher yields. As a result of this investment ethos, and in accordance with EUs SFDR, IFM is sharing the relevant environmental and social considerations with our European investors in relation to relevant In July last year Mr Robilliard wrote to the airport asking the board to reject any takeover bid, after it received an indicative offer priced at $8.25 per share. Our ambition is to be an industry leader in sustainability. The proposal comes as record-low interest rates prompt pension funds and their investment managers to chase higher yields. View our latest financial statements and Annual Reports here. Both IFM, which manages $172 billion of assets globally, and New York-headquartered Global Infrastructure Partners, which is part of the consortium bidding for Sydney Airport, register some of their infrastructure funds in the Cayman Islands. The discount to offer price that Sydney Airports shares trade at likely reflects the hurdles the consortium needs to get through. 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