Infratil has welcomed the announcement by Tilt Renewables Limited (Tilt) that it has entered into a Scheme Implementation Agreement with Powering Australian Renewables (PowAR) and Mercury NZ Limited (Mercury).
Under that agreement, it is proposed that PowAR will effectively acquire Tilt’s Australian business and Mercury will acquire Tilt’s New Zealand business by way of a Scheme of Arrangement, and Tilt shareholders will receive NZ$7.80 per share in cash.
This announcement follows Infratil’s initiation of a strategic review of its shareholding in Tilt, in early December 2020.
Jason Boyes, incoming Infratil CEO, said, “We are very pleased with the outcome of the strategic review, which involved an extensive outreach program to identify potential bidders around the world, followed by a highly competitive auction process run by Tilt. We believe the price offered by PowAR and Mercury represents compelling value for Tilt and Infratil is pleased to support the transaction.”
Infratil’s investment in Tilt originated when Tilt was part of Trustpower. Infratil has been a strong supporter of the company’s growth since Tilt was demerged from Trustpower in 2016.
Implementation of the Scheme of Arrangement remains subject to a number of conditions and termination events.
Infratil was launched by Morrison & Co in 1994, and is one of the world’s first listed infrastructure investment companies.