The consortium comprises Cheung Kong Property (CKP) and Power Assets Holdings (PAH).
Under the terms of the scheme implementation agreement, the Duet shareholders will receive A$3 for each share held.
Duet has energy utility assets in Australia as well as in the US, the UK and Europe.
Duet, which owns and operates gas and electricity network assets, said it initially received non-binding acquisition proposal from the consortium for $2.90 per stapled security in November.
The price was later increased by the consortium to $3.00 per stapled security in December, the company noted.
Duet chairman Doug Halley said: “Following a period of non-exclusive due diligence, the Consortium confirmed its offer of $3.00 per stapled security and subsequently agreed to the payment of a 3c special distribution by Duet.
“Duet’s boards consider that the total cash proceeds of $3.03 per stapled security, inclusive of a special distribution payment by Duet, fully recognize the value and future growth platform that our management team has created and the operating and financing synergies available to the Consortium.”
The consortium expects the acquisition to provide an attractive investment opportunity with improved growth potential.
Power Assets Holdings said the acquisition is part of its effort to invest in power infrastructure opportunities globally.
Scheduled to be completed by mid-May 2017, the acquisition is subject to approval by the Foreign Investment Review Board of Australia; and approval by DUET’s Security holders.
Image: Power Assets Holdings intends to invest in power infrastructure opportunities. Photo: courtesy of moggara12/FreeDigitalPhotos.net.
