Brookfield buys AusNet in $7.6B deal; DynaCERT extents unlisted warrants
Under the SID, it is proposed that Brookfield will acquire all of the shares in AusNet by way of the scheme
AusNet Services (an Australian energy company) has agreed with Brookfield Asset Management Inc under the Scheme Implementation Deed (SID) that values AusNet at an equity value of AU$10.2 (US$7.6) billion and an enterprise value of AU$17.8 (US$13.4) billion.
Brookfield is to acquire all the shares in AusNet for cash consideration through a scheme of arrangement. Brookfield is a consortium that includes co-investors Sunsuper Superannuation Fund, Alberta Investment Management Corporation (AIMCo), (IMCO) and HOOPP.
If the scheme is implemented, AusNet shareholders will receive a total value of $2.65 cash per share, plus additional consideration if the scheme has not been implemented before 31st March 2022.
The scheme is subject to various conditions, including approval by AusNet shareholders at a scheme meeting which is proposed to be held before the end of March 2022. Singapore Power (which currently owns 32.74% of the AusNet shares) has informed AusNet that it supports the scheme and intends to vote in favour of it.
AusNet Services is one of the founding members of the Australian Hydrogen Centre (AHC). The AHC is working on studies to explore the feasibility of blending green hydrogen into natural gas networks in South Australia and Victoria.
In a separate development, DynaCERT Inc. (a Canadian based energy technology company) has received approval from the Toronto Stock Exchange to extend the term of an aggregate of 14,900,000 common share purchase warrants to 14th November 2023. All of the foregoing Warrants are unlisted and were initially issued with exercise terms of two years from the dates of issuance, with 14,000,000 Warrants being exercisable at CA$0.65 on or before 28th November 2021 and the remaining 900,000 Warrants being exercisable at CA$0.65 on or before 14th November 2021. The remaining terms and conditions of the foregoing Warrants are to remain the same, unamended. A further 6,152,000 Warrants are also listed and posted for trading on the TSX.
DynaCERT patented technology produces hydrogen and oxygen on-demand through a unique electrolysis system and supplies these gases to enhance combustion through the air intake.