June 5, 2020 / 5:01 AM / a month ago

Factbox: Deals that may be affected by Australia's foreign M&A crackdown

(This June 5 story corrects paragraph 6 to show stake in common facilities being sold)

SYDNEY (Reuters) - Australia plans to give its foreign investment regulator sweeping new powers to intervene in all takeovers from overseas interests regardless of dollar value, citing security concerns.

The changes could affect a hefty pipeline of cross-border deals that are either in progress or the subject of market speculation:

DEALS IN PLAY:

Virgin Australia (VAH.AX) - the country’s No. 2 airline is being sold by administrators. Frontrunners are down to U.S. private equity firms Bain Capital and Cyrus Capital

Healius (HLS.AX) - Australia’s medical and imaging centre chain is selling its medical centers division. China’s Jangho owns 15% of the company and suitors named in media reports include Hong Kong-based KKR, PAG, along with Australia’s BGH Capital

QCLNG - Royal Dutch Shell (RDSb.L) is weighing the potential sale of its 26.25% stake in the common facilities on Queensland Curtis LNG, which is expected to fetch more than A$2 billion. No frontrunners have been named.

Infigen (IFN.AX) - the wind farm company this week rejected an unsolicited bid of $536 million from Philippines firm UAC

Tianqui (002466.SZ) - the Chinese lithium producer may sell a stake in an Australian project due to financial problems

Treasury Wine’s (TWE.AX) Penfolds - the wine conglomerate has said it wants to spin off its most prestigious label in 2021. No deal structure has been disclosed. China is Treasury’s biggest market.

POTENTIAL FUTURE DEALS:

Vocus (VOC.AX) - the telco has been fending off M&A approaches, including a A$3 billion offer from AGL, following share price underperformance in recent years,

Westpac Banking Corp’s (WBC.AX) life insurance unit - the bank is considering selling the unit as part of an industry-wide simplification drive. The unit is widely seen as attractive to Asian financial entities looking abroad.

National Australia Bank (NAB.AX) wealth unit - the bank has been trying to offload MLC for several years, but said late last year it was considering an ASX listing instead.

Crown Resorts (CWN.AX) - Hong Kong casino giant Melco Resorts (MLCO.O) bought 9.99% of its Australian rival from founder James Packer, sending its shares higher on hopes of a full takeover before Melco froze the plan due to the coronavirus shutdown

Afterpay (APT.AX) - China’s Tencent Holdings (0700.HK) bought a 5% stake of the Australian buy-now-pay-later company, sending its shares rocketing partly because of speculation it might lead to a bigger stake.

($1 = 1.4351 Australian dollars)

Reporting by Byron Kaye, Paulina Duran and Scott Murdoch; editing by Jane Wardell

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below