Energy infrastructure giant APA already owns 6.08 per cent in the target company and operates and manages the pipeline for EPIF.
It has offered $1.88 in cash for every share owned in EPIF, representing a 30 per cent premium to the target company’s closing share price on Friday.
The offer has been recommended by the target company’s independent directors, which is subject to an independent expert who must consider it fair and reasonable.
APA is Australia’s largest gas pipeline operator and already owns a 2029km pipeline linking the Cooper Basin gas fields in Moomba, South Australia, with distribution networks in Sydney and regional NSW.
The takeover of EPIF’s pipeline would see the company expand into transporting alternate fuels, including potentially liquids in the longer-term, APA said.
We value local independent journalism. We hope you do too.
InDaily provides valuable, local independent journalism in South Australia. As a news organisation it offers an alternative to The Advertiser, a different voice and a closer look at what is happening in our city and state for free. Any contribution to help fund our work is appreciated. Please click below to become an InDaily supporter.