Brookfield's $2.53 billion bid for Reliance Worldwide clears go-shop hurdle
BN•No rival bidder emerged during the go-shop period for Brookfield's proposed acquisition of Reliance Worldwide, valued at $2.53 billion. Reliance's board reaffirmed its unanimous recommendation that shareholders approve the deal.
1. No rival bid emerged
Reliance Worldwide said no proposal was received during the go-shop process for Brookfield's proposed acquisition. The September agreement would see Brookfield Capital Partners and its affiliates acquire all Reliance Worldwide shares for $3.38 each in cash, valuing the company at $2.53 billion. The offer implied about A$4.87 per share at the October 16 exchange rate.
2. Board backs the deal
Reliance Worldwide's board again recommended that shareholders vote in favour of the scheme, in the absence of a superior proposal. With the go-shop period over, customary no-shop, no-talk and no-due-diligence restrictions under the agreement have taken effect.
