Macquarie Communications accepts CPPIB's offer(3)

Macquarie Communications Infrastructure Group’s shareholders have approved the Canada Pension Plan Investment Board’s A$1.64bn offer to acquire the firm. The transaction is now set to conclude on 21 July, subject to regulatory approvals.

Macquarie Communications Infrastructure Group’s (MCG) shareholders have voted to approve the Canada Pension Plan Investment Board’s (CPPIB) offer to acquire the group.

All of the resolutions put forward as part of the proposed acquisition were passed by majorities exceeding those required, MCG said in a statement.

Earlier this month MCG’s independent directors accepted an improved offer from CPPIB. The pension plan offered an additional A$0.50 per share on top of its original offer of A$2.50 per share. The combined A$2.50 per share offer and the additional special distribution put the total equity value of MCG at A$1.64 billion (€940 million; $1.3 billion), or a 101 percent premium to the closing price of MCG’s shares prior to CPPIB’s initial offer. Including debt to be repaid as part of the transaction, the total acquisition value is expected to be around A$2.2 billion.

Supreme court hearings in Bermuda and New South Wales are now set to take place on Thursday and Friday respectively to approve the transaction. Should these approvals be granted, the deal is set to go through on 21 July.

MCG had previously cancelled its ordinary distribution for the six month period ending today.