AusNet Services Gets A$9.58 Billion Takeover Proposal From Brookfield Asset Management

By David Winning

SYDNEY--Australian power distributor AusNet Services Ltd. said it intends to recommend shareholders accept a takeover proposal from Brookfield Asset Management Inc. that values its equity at 9.58 billion Australian dollars (US$6.96 billion).

Brookfield had raised its offer to A$2.50 per share in cash after making two earlier approaches worth A$2.35-a-share and A$2.45-a-share. The offer price will be reduced by the value of any dividend declared by AusNet prior to a deal completing, AusNet said.

AusNet, which said Brookfield's first proposal was received on August 30, ended trading last week at A$1.98.

AusNet said it will allow Brookfield Asset Management Inc. to carry out due diligence on an exclusive basis to determine whether a binding offer can be made.

"The indicative proposal is subject to several conditions, including due diligence, FIRB approval, unanimous support and recommendation by the Board of AusNet, and execution of a scheme implementation deed," AusNet said.

Write to David Winning at [e-mail]

(END) Dow Jones Newswires

09-19-21 1947ET