APA Group has entered into a binding agreement to sell its 20 per cent equity interest in GDI (EII), the owner of the Allgas gas distribution network, to affiliates of Stonepeak. This sale forms part of a larger transaction that will see Stonepeak acquire 100 per cent of GDI. APA Group is an Australian energy infrastructure business, owning and operating a diverse portfolio of gas pipelines and electricity transmission assets. The company delivers natural gas to customers across mainland Australia.
According to the agreement, APA will continue to provide corporate services to GDI, including the Allgas Network, for up to three years following the completion of the sale. APA noted that earnings from the divested assets, which include gas distribution infrastructure in south-east Queensland and northern New South Wales, represented less than 1 per cent of its FY25 underlying EBITDA.
APA anticipates receiving approximately $64 million as its share of the sale proceeds. Chief executive Adam Watson stated that the divestment is in line with APA’s strategic objective to simplify its portfolio and concentrate on future growth opportunities. This move allows APA to streamline its operations and focus on core assets with greater potential for expansion and increased returns.
The transaction is expected to be finalised by the end of the first quarter of 2026, contingent upon the satisfaction of standard conditions precedent. The divestment marks a significant step in APA’s ongoing efforts to optimise its asset portfolio and enhance its strategic focus.
