Sydney Airport has announced it has entered a $23.6 billion agreement with an international consortium for 100 per cent ownership of the company.
The consortium, Sydney Aviation Alliance (SAA), is made up of both Australian and international funds, including IFM Australian Infrastructure Fund, IFM Global Infrastructure Fund, AustralianSuper, QSuper and Global Infrastructure Partners.
The deal, which initially proposed shareholders would receive $8.25 per share, was revised to propose $8.75 per share.
The Sydney Airport Board unanimously recommended that shareholders vote in favour of the agreement at upcoming meetings, expected to be held in the first quarter of 2022.
In order to proceed with the arrangement, the proposal will need 75 per cent of shareholder votes.
Sydney Airport Chairman, David Gonski, said the announcement was months in the making.
“The Sydney Airport Boards believe the outcome reflects appropriate long-term value for the airport, and unanimously recommend the proposal to securityholders, subject to customary conditions such as independent expert approval and no superior proposal,” Mr Gonski said.
The bid will require regulatory approval from the Australian Competition and Consumer Commission and Australia’s Foreign Investment review board, and is subject to other conditions.