Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

HK Type 4 license through Ballingal Investment Advisors Ltd. 

I'm a highly experienced sell-side analyst with in excess of 22 years of covering Asia Pacific equities, the past 19 years immersed in event strategies encompassing M&A risk arbitrage, directional long/short, stub trades and restructuring.  

My background also includes accountancy (liquidation/bankruptcy/receivership) earlier in my career and as a chief financial officer of a global commodity company based in the US and Mexico.

Pan-Asia Catalysts/Events

Sydney Airport (SYD AU): ACCC Will Not Oppose Offer

Sydney Airport (SYD AU): FIRB Done. Now For The Vote

Sydney Airports (SYD AU) Reject's Consortium's Revised Offer

Sydney Airports (SYD AU): Opportunistic Tilt Amid Cloudy Future

Quiddity Advisors

Event-Driven

<div>
<p>The third time is the charm.</p>
<p>After rejecting an $8.25/share proposal on the <a href="https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02395613-2A1310027?access_token=83ff96335c2d45a094df02a206a39ff4" target="_blank" rel="noopener">15 July</a>, and a $8.45 bid on the <a href="https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02407025-2A1315596?access_token=83ff96335c2d45a094df02a206a39ff4" target="_blank" rel="noopener">16 August</a>, <a href="https://www.smartkarma.com/entities/sydney-airport" target="_blank" data-smartkarma-citation="entities:19063:1" rel="noopener">Sydney Airport (SYD AU)</a> has now granted the Sydney Aviation Alliance (SAA) non-exclusive due diligence after receiving a <a href="https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02420402-2A1322873?access_token=83ff96335c2d45a094df02a206a39ff4" target="_blank" rel="noopener">A$8.75/share conditional proposal</a>, a 51% premium to the undisturbed price on the 4 July 2021.</p>
<p>SAA comprises Aussie investors IFM Investors, QSuper, and AustralianSuper, and the U.S.' Global Infrastructure Partners. As per Australia's <a href="https://www.legislation.gov.au/Details/C2020C00284" target="_blank" rel="noopener">Airport Act</a>, at least 51% of the airport must be Australian-owned. </p>
<blockquote>
<p>Having taken advice, and considering all the relevant factors, Sydney Airport intends to grant the Consortium the opportunity to conduct due diligence on a <strong>non-exclusive basis</strong> to enable it to put forward a binding proposal, subject to entry into a Non-Disclosure Agreement on acceptable terms. That due diligence is expected to take <strong>4 weeks</strong> from entry into the Non-Disclosure Agreement.(my emphasis)</p>
</blockquote>
<p>Consistent with the initial proposal on the <a href="https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02391761-2A1307944?access_token=83ff96335c2d45a094df02a206a39ff4" target="_blank" rel="noopener">5 July</a>, should the proposal proceed, UniSuper (SYD's largest shareholder with 15.3%) will roll over its equity stake into the Consortium, rather than receive the cash consideration.</p>
<p>And as per the earlier proposals, any dividend paid would reduce the cash consideration.</p>
<p>With New South Wales recording 1,262 cases yesterday, and seven deaths, the revised Offer is pitched amid, as NSW Premier Gladys Berejiklian describes it, "s<em>ome stabilisation in local government areas of concern</em>".</p>
<p>The Offer still looks light - just a 6% bump from the initial bid. </p>
<p>But this has the backing of the board and its largest shareholder (although rolled up into the back end).</p>
</div>
<p>More below the fold. </p>
<div></div>
<div>
<p></p>
</div>


The third time is the charm.
After rejecting an $8.25/share proposal on the 15 July, and a $8.45 bid on the 16 August, Sydney Airport (SYD AU) has now granted the Sydney Aviation Alliance (SAA) non-exclusive due diligence after receiving a A$8.75/share conditional proposal, a 51% premium to the undisturbed price on the 4 July 2021.
SAA comprises Aussie investors IFM Investors, QSuper, and AustralianSuper, and the U.S.' Global Infrastructure Partners. As per Australia's Airport Act, at least 51% of the airport must be Australian-owned. 

Having taken advice, and considering all the relevant factors, Sydney Airport intends to grant the Consortium the opportunity to conduct due diligence on a non-exclusive basis to enable it to put forward a binding proposal, subject to entry into a Non-Disclosure Agreement on acceptable terms. That due diligence is expected to take 4 weeks from entry into the Non-Disclosure Agreement.(my emphasis)

Consistent with the initial proposal on the 5 July, should the proposal proceed, UniSuper (SYD's largest shareholder with 15.3%) will roll over its equity stake into the Consortium, rather than receive the cash consideration.
And as per the earlier proposals, any dividend paid would reduce the cash consideration.
With New South Wales recording 1,262 cases yesterday, and seven deaths, the revised Offer is pitched amid, as NSW Premier Gladys Berejiklian describes it, "some stabilisation in local government areas of concern".
The Offer still looks light - just a 6% bump from the initial bid. 
But this has the backing of the board and its largest shareholder (although rolled up into the back end).

More below the fold. 





Sydney Airport (SYD AU): Consortium Ups Bid And Granted Due Diligence