MERGERS AND ACQUISITIONS – AUSTRALIA

Toll rivals say JP sale poses sovereign risk

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Original article by Jenny Wiggins
The Australian Financial Review – Page: 13 & 18 : 23-Feb-15

One Global Logistics MD James Sparke has warned of potential sovereign risk issues associated with government-owned Japan Post’s takeover bid for Toll Holdings. Meanwhile, Toll CEO Brian Kruger does not expect any of the group’s customers to enforce the "change of control" provisions of their contracts if the $A6.5bn takeover bid proceeds. The deal requires approval from the Foreign Investment Review Board

CORPORATES
TOLL HOLDINGS LIMITED – ASX TOL, JAPAN POST, ONE GLOBAL LOGISTICS PTY LTD, AUSTRALIA. FOREIGN INVESTMENT REVIEW BOARD, AUSTRALIAN DEFENCE FORCE, UNITED STATES NAVY, CHEVRON CORPORATION, ORICA LIMITED – ASX ORI, BARRICK GOLD CORPORATION, WOOLWORTHS LIMITED – ASX WOW, NIKE INCORPORATED, OFFICE DEPOT INCORPORATED, FISHER AND PAYKEL APPLIANCES HOLDINGS LIMITED, AUSTRALIA. DEPT OF THE TREASURY, ARCHER DANIELS MIDLAND COMPANY, GRAINCORP LIMITED – ASX GNC, HUAWEI TECHNOLOGIES COMPANY LIMITED, AUSTRALIA. DEPT OF FOREIGN AFFAIRS AND TRADE, AUSTRALIA POST, STAR TRACK EXPRESS PTY LTD, LINCOLN INDICATORS PTY LTD

Japan Post pays up big for Toll

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Original article by Jenny Wiggins, Sarah Thompson
The Australian Financial Review – Page: 1 & 14 : 19-Feb-15

Directors of Australian-listed logistics group Toll Holdings and analysts have backed a takeover bid by Japan Post. The offer of $A9.04 per share values the deal at $A6.5bn, and data from Dealogic shows that it will be Japan’s biggest investment in Australia. Japan Post will be the world’s fifth-largest logistics group if the deal proceeds. Toll shares closed 47 per cent higher at $A8.95 on 18 February 2015. Toll expects the deal to be approved by regulators

CORPORATES
TOLL HOLDINGS LIMITED – ASX TOL, JAPAN POST, DEALOGIC (AUSTRALIA) PTY LTD, CIMB SECURITIES INTERNATIONAL (AUSTRALIA) PTY LTD, DEUTSCHE POST AG, UNITED STATES POSTAL SERVICE, UNITED PARCEL SERVICE INCORPORATED, FEDERAL EXPRESS CORPORATION, DB SCHENKER AG, LA POSTE, KUEHNE & NAGEL INTERNATIONAL AG, JAPAN OIL GAS AND METALS NATIONAL CORPORATION, CHEVRON CORPORATION, AUSTRALIA. DEPT OF FOREIGN AFFAIRS AND TRADE, AUSTRALIA. FOREIGN INVESTMENT REVIEW BOARD

Steadfast set for Asian buy

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Original article by Ruth Liew
The Australian Financial Review – Page: 20 : 17-Feb-15

Australian-listed Steadfast Group has reported a 2014-15 interim profit of $A21m, which is 11.5 per cent higher than previously. The insurance broking group’s cash earnings per share also rose by 11.5 per cent, to $A4.18. Steadfast has secured a deal to acquire Body Corporate Brokers and two underwriting agencies from QBE Insurance Group for $A290m. It is keen to pursue further acquisitions in Australia, as well as in Singapore

CORPORATES
STEADFAST GROUP LIMITED – ASX SDF, QBE INSURANCE GROUP LIMITED – ASX QBE, BODY CORPORATE BROKERS, UNDERWRITING AGENCIES OF AUSTRALIA PTY LTD, CHU UNDERWRITING AGENCIES PTY LTD, UBS HOLDINGS PTY LTD, IC FRITCH, JP MORGAN AUSTRALIA LIMITED, MACQUARIE CAPITAL PTY LTD, STANDARD AND POOR’S ASX 200 INDEX

Goodman gets big tick

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Original article by Sue Mitchell, Sarah Thompson
The Australian Financial Review – Page: 19 : 17-Feb-15

Goodman Fielder shareholders will vote on a proposed $A1.3bn takeover bid by Wilmar International and First Pacific on 26 February 2015. Australia’s Foreign Investment Review Board approved the deal in late 2014, and the Chinese Government gave the green light on 16 February. The offer of $A0.675 per share also requires approval in New Zealand. Hedge funds bought about 160 million of the target’s shares in early February, and stand to make a healthy profit from the transaction

CORPORATES
GOODMAN FIELDER LIMITED – ASX GFF, WILMAR INTERNATIONAL LIMITED, FIRST PACIFIC COMPANY LIMITED, AUSTRALIA. FOREIGN INVESTMENT REVIEW BOARD, CHINA. MINISTRY OF COMMERCE, NEW ZEALAND. OVERSEAS INVESTMENT COMMISSION, ELLERSTON CAPITAL PTY LTD, DEUTSCHE BANK AG, AUSTRALIAN SHAREHOLDERS’ ASSOCIATION

Pressure is on for Snowy Hydro

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Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 17 : 11-Feb-15

Snowy Hydro CEO Paul Broad has downplayed speculation that privatisation may again be on the agenda for the government-owned power company. Meanwhile, he says the group needs to deliver on its growth forecasts and projected synergies in order to justify its acquisition of Lumo Energy and the Colongra gas-fired power station in 2014. Snowy Hydro boasts around $A1.2bn worth of debt following the acquisitions

CORPORATES
SNOWY HYDRO LIMITED, LUMO ENERGY AUSTRALIA PTY LTD, RED ENERGY PTY LTD, INFRATIL LIMITED – ASX IFZ, AGL ENERGY LIMITED – ASX AGL, ORIGIN ENERGY LIMITED – ASX ORG, ENERGYAUSTRALIA PTY LTD, ONE.TEL LIMITED, INFRASTRUCTURE NEW SOUTH WALES

Ansell profit jumps 33.7pc after two major acquisitions

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Original article by Jessica Gardner
The Australian Financial Review – Page: 15 & 20 : 10-Feb-15

Ansell has reported a 33.7 per cent rise in net profit to $A87.7 million for the second half of 2014. The Australian-listed rubber glove and condom maker’s revenue increased by 20 per cent to $US847.3 million. CEO Magnus Nicolin said on 9 February 2015 that the company benefited from two major deals completed in 2014. New acquisitions will be considered

CORPORATES
ANSELL LIMITED – ASX ANN, BARRIERSAFE SOLUTIONS INTERNATIONAL, MIDAS AUSTRALIA PTY LTD, INVESTORS MUTUAL LIMITED, STANDARD AND POOR’S ASX 200 INDEX, CLSA, CREDIT LYONNAIS SECURITIES ASIA LIMITED

Foxtel, Discovery plot Ten strategy

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Original article by Dominic White, Jake Mitchell
The Australian Financial Review – Page: 29 : 9-Feb-15

Ten Network’s 14.9 per cent shareholder, Bruce Gordon, opposes a $A590m takeover bid by Foxtel and Discovery Communications. However, the bidders may consider a revised takeover strategy whereby they would acquire Ten’s main assets while Ten itself remains listed on the sharemarket. While Ten’s directors would have to approve any such deal, the bidders would only need the support of 51 per cent of Ten’s voting shareholders

CORPORATES
TEN NETWORK HOLDINGS LIMITED – ASX TEN, FOXTEL MANAGEMENT PTY LTD, DISCOVERY COMMUNICATIONS INCORPORATED, LAZARD ASSET MANAGEMENT LIMITED, NEWS CORP AUSTRALIA PTY LTD, NEWS CORPORATION – ASX NWS, TELSTRA CORPORATION LIMITED – ASX TLS, CROWN RESORTS LIMITED – ASX CWN, FAIRFAX MEDIA LIMITED – ASX FXJ

Dairy float call for Van Diemen’s Land

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Original article by Carrie LaFrenz
The Australian Financial Review – Page: 18 : 9-Feb-15

Tasmanian Land Company recently launched a takeover bid for Van Diemen’s Land Company (VDL), with the offer pitched at $A2 per share. However, Wilson HTM stockbroker Hugh Robertson believes that the milk producer should be listed on the Australian sharemarket, and says he recently approached VDL with his proposal for an IPO. VDL has a portfolio of 25 dairy farms and a 26,000-strong herd of dairy cows

CORPORATES
VAN DIEMEN’S LAND COMPANY, TASMANIAN LAND COMPANY, WILSON HTM INVESTMENT GROUP LIMITED – ASX WIG, BDO AGRICULTURAL SERVICES, BDO AUSTRALIA LIMITED, NEW PLYMOUTH DISTRICT COUNCIL, TASMAN FARMS PTY LTD, TARANAKI INVESTMENT MANAGEMENT LIMITED, CHINA INVESTMENT CORPORATION

Novion, Federation seal $22bn mall merger

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Original article by Sarah Danckert
The Australian – Page: 19 : 4-Feb-15

Australian-listed real estate investment trusts (A-REITs) Novion and Federation Centres, active in the retail malls segment, will be merged in a deal worth $A22bn. The combined entity will be ranked third in the A-REITs category behind rival shopping centre owners Westfield Corporation and Scentre Group. Novion is the former CFS Retail, and along with Federation has 100-plus mall assets. Speculation is growing that a merger agreement may also soon be struck that could involve Dexus, GPT and Stockland

CORPORATES
NOVION PROPERTY GROUP – ASX NVN, FEDERATION CENTRES – ASX FDC, WESTFIELD CORPORATION – ASX WFD, SCENTRE GROUP – ASX SCG, DEXUS PROPERTY GROUP – ASX DXS, GPT GROUP – ASX GPT, STOCKLAND – ASX SGP, CHADSTONE SHOPPING CENTRE, CHATSWOOD CHASE, ASX LIMITED – ASX ASX, COMMONWEALTH PROPERTY OFFICE FUND, FRASERS CENTREPOINT LIMITED, AUSTRALAND PROPERTY GROUP, CANADA PENSION PLAN INVESTMENT BOARD, UBS HOLDINGS PTY LTD, MERRILL LYNCH (AUSTRALIA) PTY LTD, MACQUARIE BANK LIMITED – ASX MBL, CREDIT SUISSE (AUSTRALIA) LIMITED

Seven ‘too small to take out Beach’

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Original article by James Thomson
The Australian Financial Review – Page: 20 : 4-Feb-15

Seven Group Holdings has built up a 13.4 per cent stake in Beach Energy, after initially purchasing 3.5 per cent of the group’s shares in late January 2015. The share raid has prompted speculation of a takeover play, but Tim Mann of Morningstar believes that Seven Group lacks sufficient financial firepower to effect a takeover. Martin Kronborg of Credit Suisse suggests that the move may be in expectation that Beach will attract another suitor

CORPORATES
SEVEN GROUP HOLDINGS LIMITED – ASX SVW, BEACH ENERGY LIMITED – ASX BPT, MORNINGSTAR PTY LTD, CREDIT SUISSE (AUSTRALIA) LIMITED, WESTRAC HOLDINGS PTY LTD, BAILLIEU HOLST LIMITED