$11.1 billion Qantas grab fails

austeps_join

The proposed $11.1 billion private equity buyout for Qantas has failed.

The Airline Partners Australia (APA) consortium confirmed tonight they had only secured 46 per cent of the national carrier after a deadline for the takeover offer expired at 7pm.

The consortium needed 50 per cent of the airline for the offer of $5.45 per Qantas share to be extended another two weeks.

黑山老妖

yes. kinda of expected since last week.

oliverzeno

Long Qantas CDS and short Qantas stock to hedged, this trade turns out to be great...

Hoho!

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Nice call..

austeps_join

As the $11.1 billion takeover bid for Australian carrier Qantas hangs in the balance, the Airline Partners Australia (APA) consortium said today that a late acceptance from a large investor meant it intended to press ahead with the bid.

"On Friday evening, APA announced that, subject to confirmation, it appeared that the offer had failed to reach the 50 per cent level required for the offer to proceed," it said in a statement.

"However, subsequently on Friday, APA received an acceptance from a large investor, which would be sufficient to take acceptances for Qantas shares to more than 50 per cent.

"APA intends to make submissions to the Takeovers Panel to allow the offer to continue."

APA said the late support took acceptances to a majority of 50.6 per cent of Qantas shares, accepted on behalf of 58 per cent of all Qantas shareholders.

The Qantas board of directors will meet today to discuss the revived 11th hour takeover bid.

Qantas spokesman Simon Rushton said the board would meet in Sydney this morning but an outcome from the meeting was not expected before midday.

"There will be a board meeting today, that's all I can confirm at this stage," Mr Rushton told AAP.

He would not divulge details of the meeting.

APA had been hoping to gather more acceptances to reach 50 per cent so that the $5.45 per share offer would be automatically extended by two weeks.

That would have given it breathing space to secure the 70 per cent it needed for the offer to fully succeed.

The group, led by Australia's largest investment bank Macquarie Bank, said last night its plans for Qantas would have significantly enhanced the airline, guaranteed strong growth and been beneficial for employees and customers.

As well as Macquarie Bank, the APA consortium included US private equity firm Texas Pacific Group, Canadian private equity firm Onex Corp and Australian investment groups Allco Equity Partners and Allco Finance Group.

Qantas shares closed last night up one cent at $5.38.

The board of Australia's largest airline rejected an initial takeover offer from APA in mid-December before accepting a sweetened bid shortly afterwards.

The consortium restructured its offer last month in a bid to boost its chance of success, lowering the minimum shareholder acceptance condition to 70 per cent, from 90 per cent.

pigtail

这帮人真能折腾啊

吃喝拉撒睡

my assignment was on this. it was due on 12.00 noon friday, 7 hrs before the tender closing~~~~~ jp04




qantas will be taken over, i believe, by whatever means.

pigtail

那take over了之后到底是好还是不好啊？ (这个问题很白痴，但是我真的不知道)

clickle

Now it turns out to be fishy, though concession, as nasty as Telstra.

Board's transparency meets up with "trust crisis" again, ends up only with elongating the deficiency, as per "predecessor".

However, at this stage, I can't see any reason supportive of "been beneficial for ENPLOYEES and CUSTOMERS". It's, as any other privatization or competiton, would be a zero-sum game.

黑山老妖

Interesting twist...
However so far Qantas takeover has been kept out of the political arena. Now this is an election year with election in less than 6 months. Anything can happen. If things gets nasty and political browny points can be scored then Labour party would love any opportunity to sling mud at the coalition. MacBank has much influence here. This is going to take a lot of muscle flexing for it to get the deal across the line.

Let political then the deal is off.
Not political then the deal is going to be a tough call from here.
Let's see how it unfolds.

黑山老妖

Looks like the show is over.
Takeover panel decided not to review the bid.
http://www.smh.com.au/news/busin ... /1178390122833.html

黑山老妖

Latest from SMH:Heads to roll in the wake of Qantas sale fiasco
This will be the quote of the year:

...

"This is one of the great f----ups of the world," said one senior executive involved in the process.

The finger-pointing began immediately. The Macquarie-led consortium, facing losses on the deal running into hundreds of millions of dollars, sheeted home blame to the Heyman funds.

However, the senior executive said: "So many people are protecting their arse."
...

It's always rare and fun to watch MacBank fail. Haha.

Devil_Star

原帖由 黑山老妖 于 2007-5-7 07:07 发表
Latest from SMH:Heads to roll in the wake of Qantas sale fiasco
This will be the quote of the year:


It's always rare and fun to watch MacBank fail. Haha.

Not so rare, they are still far from god. Last year when it failed the bid on LSE, the SP plummet to below $60.

Devil_Star

I've never believed the QAN deal would go anywhere. It's a national brand, and so much resistance from both inside and outside of the companies.