March 4 (Renewables Now) - Australian wind farm development and management firm Windlab Ltd (ASX:WND) on Wednesday announced an agreement to be acquired by investment vehicle Wind Acquisition 1 Pty Ltd and Squadron Wind Energy Development Pty Ltd for AUD 1.0 (USD 0.661/EUR 0.592) per share in cash.
Wind Acquisition 1 is an investment vehicle of funds managed by Federation Asset Management Holdings Pty Ltd. The Australian private equity firm already owns about 18.7% in Windlab.
Squadron Wind Energy is owned by the Minderoo Group of Companies.
Windlab’s board of directors has recommended that shareholders vote in favour of the Scheme Implementation Agreement (SIA). One of the factors motivating this recommendation is the fact that the offered price represents a 38.9% premium to the company’s closing price on January 17, the day before Windlab said it had received an initial proposal from the consortium.
KPMG Corporate Finance has been tasked with the preparation of an independent expert report on the offer to show whether the transaction is in the best interest of Windlab's shareholders.
Shareholders in the company will vote on the deal at the beginning of June and if all conditions are met, it is expected to be finalised by the end of June.
Windlab also said it has agreed a three-year loan facility of AUD 20 million with lenders associated with the consortium.
Moelis Australia Advisory Pty Ltd and Dentons Australia are advising Windlab on the deal.
According to its website, Canberra-based Windlab has over 1,000 MW of wind farm capacity in operation or under construction in Australia and New Zealand, Africa and North America. It is also developing about 7,750 MW globally.
(AUD 1.0 = USD 0.661/EUR 0.592)