The bid by Western Australian energy company Alinta to merge with its bigger Eastern coast rival AGL looks set to end in a hostile takeover following AGLÆs counter-bid earlier this week.
AGL employed a classic delaying tactic on Monday by putting its own demerger plans on hold and launching a reverse offer to buy Alinta for A$2.7 billion, just three weeks after Alinta bought 19.9% of AGLÆs shares from willing institutional investors in an attempt to push AGLÆs management into merger talks.
Alinta was not given any warning of AGLÆs surprise tactic despite signing a confidentiality agreement on March 10 that was meant to herald the beginning of sit-down talks.
AlintaÆs...
To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team subscription (2-5 users), or office-wide licences.
To help you and your colleagues access our proprietary content, please contact us at [email protected], or +(852) 2122 5222
Share our publication on social media
