find the latest legal job
Corporate and Commercial Partner
Category: Corporate and Commercial Law | Location: Adelaide SA 5000
· Adelaide CBD · Join a leading Adelaide commercial law firm
View details
Freelance Project Finance Lawyers
Category: Other | Location: All Australia
· Vario are looking for freelance lawyers with experience in project finance ideally within the renewable energy sector
View details
Vario Freelance Lawyers
Category: Construction Law | Location: All Australia
· We are looking for lawyers who appreciate the endless possibilities that a freelance career can offer.
View details
Freelance Construction Lawyers
Category: Construction Law | Location: All Melbourne VIC
· We are looking for construction lawyers who appreciate the endless possibilities that a freelance career can offer.
View details
Banking Associate - 1-6PQE - Allen & Overy
Category: Banking and Finance Law | Location: United Kingdom
· Banking Associate - 1-6 PQE - Allen & Overy
View details
Clean deal for clean energy

Clean deal for clean energy

A “very clean” bid was the distinguishing feature of AGL’s $1.43 billion acquisition of Southern Hydro, according to Gilbert + Tobin partners Gary Lawler and Rachel Launders. Allens…

A “very clean” bid was the distinguishing feature of AGL’s $1.43 billion acquisition of Southern Hydro, according to Gilbert + Tobin partners Gary Lawler and Rachel Launders. Allens Arthur Robinson acted for Meridian.

The acquisition was conducted via a standard competitive process, but the structure towards the end was more unusual because the buyer and vendor had already signed a Share Sale Agreement.

Launders said the company had wanted to submit a bid “that was as clean as possible”, and a lot of work was done in advance to ensure that that happened. “AGL had to make sure they wouldn’t have any conditions, like ACCC approval, as part of the bid,” she said.

The ACCC and the Essential Services Commission both gave their tick of approval before the bid. “I think all of that helped Meridian to decide to let us in to the final stage,” Launders said.

Launders described the pre-negotiation of the Share Sale Agreement as a “sensible but commercial approach”. “AGL ended up with quite a good document that gave it a lot of protection without them having to spend months negotiating every point.”

Lawler said this process was assisted by the fact that both the vendors and buyers were reasonable in their requirements. There was room for negotiations to continue before sign off, but having the Share Sale Agreement “fully drafted and agreed” when the bid was put in “made completing the transaction relatively easy,’ he said.

“We were thinking there might be some reopening on some small issues between when we were told we were the preferred bidder and when we signed, but that didn’t happen at all,” Launders added.

AGL outbid Babcock & Brown and Origin Energy in order to add Southern Hydro’s assets — 11 hydro power stations in NSW and Victoria and Australia’s largest wind farm, in South Australia — to its portfolio. Some analysts have said the price tag was too high for the company, but the purchase is a strategic fit with AGL’s plans to separate its retail and infrastructure businesses to form two separate listed companies.

Lawler said it should be apparent that Southern Hydro’s assets were a very strategic acquisition and were “not assets which can be duplicated”. Gilbert+Tobin will also work on AGL’s demerger, which is expected to be completed in April next year.

Like this story? Read more:

Book commemorates diamond milestone for WA law society

QLS condemns actions of disgraced lawyer as ‘stain on the profession’

NSW proposes big justice reforms to target risk of reoffending

Clean deal for clean energy
lawyersweekly logo
Promoted content
Recommended by Spike Native Network
more from lawyers weekly
Debate rises over Victorian judiciary attack
Debate rises over Victorian judiciary attack
The Victorian Bar has become the latest to go on record condemning recent political attacks on the V...
Michelle Quigley QC
Vic Barrister who helped stop major heritage redevelopment joins Supreme Court
Michelle Quigley QC, who assisted a coalition to oppose the redevelopment of St Heliers villa estate...
Building, construction
Building for NSW coroner’s complex slated for early 2019
Efforts to relocate the state coroner’s facilities from Glebe to Lidcombe are on track, according ...
Allens managing partner Richard Spurio, image courtesy Allens' website
Jun 21 2017
Promo season at Allens
A group of lawyers at Allens have received promotions across its PNG and Australian offices. ...
May 11 2017
Partner exits for in-house role
A Victorian lawyer has left the partnership of a national firm to start a new gig with state governm...
Esteban Gomez
May 11 2017
National firm recruits ‘major asset’
A national law firm has announced it has appointed a new corporate partner who brings over 15 years'...
Nicole Rich
May 16 2017
Access to justice for young transgender Australians
Reform is looming for the process that young transgender Australians and their families must current...
Geoff Roberson
May 11 2017
The lighter side of the law: when law and comedy collide
On the face of it, there doesn’t seem to be much that is amusing about the law, writes Geoff Rober...
May 10 2017
Advocate’s immunity – without fear or without favour but not both
On 29 March 2017, the High Court handed down its decision in David Kendirjian v Eugene Lepore & ...