APA weighs Envestra scheme
- {{x.value}}
{{ twilioFailed ? 'SMS Code Failed to Send…' : 'Enter verification code' }}
{{ completedStep1 ? 'Authentication & Security' : content.trialHeading.replace('{0}', user.FirstName) }}
{{ content.upgradeHeading.replace('{0}', user.FirstName) }}
The email address you entered is registered with InvestSMART
Please login to continue
We have sent you an email with the details of your registration.
Looks you are already a member. Please enter your password to proceed
{{ upgradeCTAText }}
Updating information
Please wait ...
Your membership to InvestSMART Group recently failed to renew.
Please make sure your payment details are up to date to continue your membership.
Having trouble renewing?
Please contact Member Services on support@investsmart.com.au or 1300 880 160
You've recently updated your payment details.
It may take a few minutes to update your subscription details, during this time you will not be able to view locked content.
If you are still having trouble viewing content after 10 minutes, try logging out of your account and logging back in.
Still having trouble viewing content?
Please contact Member Services on support@investsmart.com.au or 1300 880 160
Please click on the ACTIVATE button to activate your Intelligent Investor 15-day free trial
Please click on the ACTIVATE button to finalise your membership
Unsuccessful registration
Registration for this event is available only to Eureka Report members. View our membership page for more information.
Registration for this event is available only to Intelligent Investor members. View our membership page for more information.
- You are already registered for this event.
- This event is already full.
- Please select a quantity for at least one ticket.
- {{ i }}
Forgotten password
Please enter your email address below to request a new password
- Verify your email address by clicking on the link we sent to {{user.Email}}
- You now have free access, we look forward to helping you on your financial journey.
Gas pipeline owner APA Group will be reading the fine print of the scheme documentation released yesterday for its $2.1 billion deal to buy South Australian distributor Envestra.
As the market waits to see if APA will lift its bid after it was opposed by Envestra’s cornerstone shareholder Cheung Kong Infrastructure, the documents -- which were dispatched to shareholders yesterday -- for the first time provide the reasons why CKI knocked back APA’s bid.
The directors Dominic and Ivan Chan, who represent the 17.5 per cent stake in Envestra owned by CKI, claim APA has a different risk and financial profile than Envestra.
Dominic Chan notes that “APA Group has assets that are to a large extent unregulated and have a different and more volatile risk profile than Envestra’s assets’’.
He also says the absence of a substantially higher proportion of cash consideration “is not desirable for those Envestra shareholders who do not want to invest in a company with the characteristics of APA Group’’.
He wants more cash and says that the premium for control being offered by APA Group is insufficient.
Because APA, which owns 33 per cent of Envestra, cannot vote on the transaction, CKI’s stake is enough for it to block the deal, which requires 75 per cent of eligible share-votes.
The scheme meeting for the deal will be held in Adelaide on May 13.
Call 1300 880 160
Start a chat
Schedule a call
