Singapore’s Sembcorp Industries picks up the Australian energy retailer and generator
Herbert Smith Freehills (HSF) Kramer has helped Hong Kong-based Chow Tai Fook Enterprises (CTFE) to conduct a strategic review and divestment of Australian energy retailer and generator Alinta Energy for $6.5bn.
Singapore’s Sembcorp Industries will take ownership of Alinta once the deal closes. The completion, which is set for the first half of this year, is pending regulatory approvals, shareholder approval, and the fulfillment of customary conditions precedent. CTFE had owned Alinta since 2017.
Sembcorp is expected to retain Alinta's current management team.
“This transaction is significant for the Australian energy market. It brings new investment to one of the country’s largest energy companies at a time when the sector is delivering through the challenges of the energy transition”, said Nick Baker, projects, energy and infrastructure managing partner at HSF Kramer.
Baker headed up the M&A team alongside corporate partner Baden Furphy, supported by counsel Ying Yi Soh, senior associate Dan English and solicitor Stefan Baldwin. Partners Liza Carver and Sarah Benbow took the lead on the competition aspects of the transaction.
Partner Elizabeth Charlesworth led the firm’s work on the finance aspects, supported by senior associate Tom Allen.
A team from Ashurst headed by partner Tony Damian advised Sembcorp. He worked with partners Murray Wheater and Paul Lingard, counsel James Ireland, and senior associates Eliza Wallace, Bill Lo and Rachel Werner from the corporate transactions group.
CTFE’s investments include real estate, hospitality, infrastructure. and energy.
