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Sydney Airport rejects US$16.7 billion takeover bid as “opportunistic”
July 15th 2021
Sydney Airport directors have knocked back a proposed A$22.3 billion (US$16.7 billion) buyout offer from a consortium of infrastructure investors. Read More » In a regulatory filing to the Australian Securities Exchange (ASX), the airport operator said the bid undervalued Sydney Airport, was not in the best interests of security holders and was "opportunistic" given the significant impact of COVID-19 on the airport's performance. A statement added the A$8.25 cash per stapled security takeover price was a lower figure than traded before the pandemic. It is recognised the security price is likely to trade below the consortium proposal’s indicative price in the short term, Sydney Airport said. "However, Sydney Airport only will progress a change in control transaction on terms that deliver and recognise the appropriate long-term value for Sydney Airport security holders," the company said. Sydney Airport ended Thursday's ASX trade up 1.3%, at A$7.81.
