Norton Rose Australia has advised Industrea Limited (Industrea), an Australian mining services company, on a cash offer by US conglomerate, General Electric Company (GE) by way of scheme of arrangement.
GE has offered to acquire 100% of Industrea’s issued shares at A$1.27 cash per share. The acquisition price represents a 48% premium to the previous close and implies a fully diluted value for Industrea of approximately A$470 million.
In addition, the Industrea Board has negotiated the ability to sell Industrea Mining Services (IMS) separately, in which case Industrea shareholders will be entitled to receive any net proceeds from the sale of the division above an agreed value in addition to the $1.27 per share offered by GE.
GE’s capital, technical expertise and global customer relationships are expected to accelerate the growth of Industrea’s businesses, building on the company’s strong reputation for products and services that enhance the safety and productivity of mining companies.
The transaction was announced on 16 May 2012.
The team was led by Shaun Clyne, partner in Sydney. He was assisted by Senior Associate, Ebony Keenan-Dunn and Associate, Katie Hegarty.
Shaun Clyne commented “We are pleased to have worked with Industrea on achieving a good outcome for shareholders in a volatile market, and in particular to have retained the ability to derive additional shareholder value through an orderly sale of Industrea’s mining services division.”
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