Electricity operator AusNet (ASX:AST)
has agreed to grant APA Group (ASX:APA)
due diligence after ongoing talks to acquire the company, while Brookfield's offer to AusNet still remains on the cards.
AusNet entered a confidentiality deed with the energy infrastructure business APA, while at the same time, APA agreed to grant AusNet reverse due diligence. The news comes after AusNet announced on October 15 that it would engage with APA, in relation to its indicative, non-binding and conditional proposal to acquire AusNet for a combination of $1.82 cash and 0.0878 APA stapled securities per share, which also represents an implied value of $2.60 per share.
The due diligence arrangements are non-exclusive and AusNet is continuing to provide Brookfield with due diligence and engage with the investor, who proposed a $9.6 billion take-over bid at $2.50 per share via an indicative, non-binding proposal.
The AusNet Board said they are committed to continuing to act in the best interests of all shareholders by facilitating competitive tension and working towards securing a binding proposal for shareholders to consider. The also noted that there is no certainty that either Brookfield or APA will submit a binding proposal.
Shares in AusNet (ASX:AST)
are trading 0.2 per cent lower at $2.51 . Shares in APA Group (ASX:APA)
are trading 0.7 per cent higher at $8.58.