Infrastructure M&A

Corporate

Corporate » Infrastructure M&A

Hardly a day goes by without the issue of infrastructure development in Australia being raised in public debate – rightly so, as infrastructure directly affects our competitiveness and continued ability to maintain economic prosperity. A key part of the debate, and part of the solution, is the divestment by governments of operating assets and the recycling of capital to be used for further development. The private sector is also increasingly focussed on capital management and the divestment of infrastructure that it doesn’t have to own, but needs to use.

Through a long history of acting on Australia’s most significant and complex infrastructure development transactions we understand the assets that are being bought and sold. Whether it’s a toll road, airport, pipeline, port or assets attached to an integrated resources project, and we know what drives value and creates risk. We bring that experience to the table for our M&A clients.

Our investments team is sector-focussed and brings together experts from all relevant legal disciplines. These inlcude mergers & acquisitions, projects, financing, tax and regulatory, as well as specialty practices that can help unlock value, like environment & planning and employment & industrial relations.

We act for all participants in the sector, including domestic and global infrastructure investors and general partners & fund managers, operators, financiers, governments and independent regulators.

Our Experts

DALEY Felicity website grey SIZED TH

Felicity Saxon

Special Counsel Location Sydney Profile
Jeremy Horwood.jpg

Jeremy Horwood

Partner Location Brisbane Profile
OCALLAGHAN Justin website grey SIZED TH

Justin O'Callaghan

Special Counsel Location Brisbane Profile
Mellos Kon CMYK 90x130

Kon Mellos

Partner Location Melbourne Profile
THORNE Nick FULL SIZE 90x130

Nick Thorne

Special Counsel Location Brisbane Profile
GRAHAM Nicole website grey sized TH

Nicole Graham

Special Counsel Location Sydney Profile
CLARKE Robert website grey SIZED TH

Robert Clarke

Partner Location Melbourne Profile
MILLS Vaughan SF

Vaughan Mills

Partner Location Brisbane Port Moresby Profile

Our Experience

Aurora Energy

Corrs advised Aurora Energy in Tasmania in relation to the access to, and use and commercialisation of, the Basslink Fibre Optic cable that links mainland Australia to Tasmania.

Australia’s largest public sector water infrastructure project

Corrs Chambers Westgarth is playing an important role in the future Australia’s water supply – advising on the largest public sector investment in water infrastructure in our nation’s history, the AU$3.5 billion Victorian Desalination Project.

In the lead advisory role, Corrs’ Project team assisted the Victorian Government develop project funding solutions for PPP development of the mammoth seawater desalination plant – fully integrating with the technical, environmental, financial and insurance advisors.

Conducted against the background of the continuing global economic crisis, the team developed real-time solutions as the economy evolved, and still achieved contract close earlier than the announced timetable

Corrs was also involved in developing the project’s commercial structure, key approval public hearings and applications, briefing government decision makers, evaluating and advising on procurement, and negotiating finalised project documentation. Corrs has continued to play a lead role advising the State through the construction delivery phase and the range of complex issues arising from the substantial delays to completion.

More

Australasian Legal Business Awards 2012 Project Finance Deal of the Year - Wiggins Island Coal Export Terminal

Corrs advised QR Network on the Wiggins Island Coal Export Terminal and arrangements with the port owner, Gladstone Port Corporation in relation to the rail unloading facilities and the rail/port interface issues.

Corrs also advised Wesfarmers, who is one of the WICET consortium members.

The Wiggins Island Rail Project will be one of the largest port and rail expansions in Australia, and when completed, will support the transportation of 27 million tonnes per annum of coal. This is a key energy infrastructure project for Queensland’s coal industry and is the first in a number of projects that will significantly increase the capacity of the coal export supply chain in the region.

More

Brisbane Airport Link

Corrs Project team advised BrisConnections on all aspects of its successful bid, including negotiation of the project deed with the State, the design and construction sub-contract, and the operations and maintenance contract with the other project participants.

The project involved a $1.2 billion initial public offering of securities in BrisConnections and a $3 billion debt financing package.

Airport Link, a 6.7km multi-lane electronic free-flow toll road with dual 5.25km tunnels, will be Australia’s largest ever toll road infrastructure project by design and construction cost. The project is a priority transport infrastructure project for Brisbane and is designed to meet the needs of Brisbane’s rapidly rising population.

Corrs are the lead transaction lawyers for the BrisConnections consortium, which will deliver the Airport Link, Northern Busway and Airport Roundabout Upgrade projects. The Consortium, which includes Leighton Holdings, Macquarie Capital Group, Thiess and John Holland, was announced as preferred bidder for the project in May 2008.

Corrs advised on all aspects of its successful bid, including negotiation of the project deed with the State, the design and construction sub-contract, and the operations and maintenance contract with the other project participants.

The transaction was unusually complex. The design and construction sub-contract, for example, is the largest construction contract for an Australian Public-Private Partnership (PPP). It provides for the simultaneous design and construction of the publicly-financed and owned Northern Busway, the privately-financed and owned Airport Link toll road and publicly-financed and owned Airport Roundabout Upgrade.

Each type of work had its own challenges – the payment, environmental, approval, tenure and access regimes were different for each work package and had to be separately addressed in the subcontract.

More

Global investment in ConnectEast toll road

ConnectEast is a landmark toll road project owned by a number of foreign pension funds including Danish fund Arbejdsmarkedts Tillagspension (ATP) and UK fund Universities Superannuation Scheme (USS).

Corrs advised ATP and USS on their investment in the consortium which is managed by CP2 Limited -  an infrastructure fund manager with approximately A$3.5 billion in funds under management for a global client base of pension funds, sovereign wealth funds and other institutions.

More

Murchison Metals

Murchison Metals sold its interests in Crosslands Resources and the Oakajee Port and Rail project to its joint venture partner Mitsubishi Development for $A325 million.

The transaction, advised by Corrs, allowed Murchison to exit its investment for a cash return after an extensive strategic review process to maximise shareholder value in relation to these interests.

More

Port Botany and Port Kembla

Corrs advised a member of the NSW Ports Consortium in successfully bidding for the 99-year lease of Port Botany and Port Kembla from the NSW State Government. The ports were leased to the NSW Ports Consortium for $5.07 billion with an annual lease payment of $5 million.

The assets represent two of Australia’s largest ports and are both essential to the primary import and export gateways to NSW. Port Botany is vital to the economy of Sydney and NSW as the only large-scale container handling facility. Port Kembla serves as a key export facility for coal and other bulk products and is Australia’s largest vehicle import facility.

More

Our Thinking

M&A Year in Review 2016

Our latest M&A Year in Review highlights five key considerations ranging from pre-bid strategy during these uncertain times, through to the tactics necessary to edge deals over the line.

More

Australian Agriculture Investment Update - March 2016

Welcome to the March 2016 edition of the Australian Agriculture Investment Update, a quarterly publication prepared by Corrs Chambers Westgarth for clients and contacts who are interested in investment activity in the Australian agriculture sector.

More Download

Australian agriculture investment update

Welcome to the October 2015 edition of the Australian Agriculture Investment Update, a quarterly publication prepared by Corrs Chambers Westgarth for clients and contacts who are interested in investment activity in the Australian agriculture sector.

More Download

Regional China rises: Australian businesses should venture beyond Shanghai and Shenzhen to ride the Project of the Century

The central Chinese city of Xi’an offers a wealth of business opportunity.

More

Australia's M&A market 2015 - Ten trends that are shaping the market

Conditions seem ripe for M&A in 2015. So, what’s driving the market and how can bidders and targets improve their prospects for deal success?

More

M&A Review: 2014 mid-year update

As we pass the first half of the calendar year, we have checked in on the state of the public M&A market and here are our top ten findings.

More

Want to sell your idea to Government? An unsolicited proposal could be your answer

Unsolicited proposals are a means by which the private sector can propose new ideas to the State to deliver capital requirements outside normal procurement processes.

More Download

Root and branch competition policy review - What does it mean for infrastructure?

On 27 March 2014 the government released the terms of reference for its root and branch competition policy review and revealed the composition of the review panel.

More

Exit strategies in commercial relationships - Rethink after Andrews

Poorly drafted exit strategies risk being held unenforceable penalties. Does yours need a rethink?

More

State-owned enterprises offer vast opportunities…but some governments just don’t get it

While suspicion and fear is driving some governments’ responses to SOEs, Australia’s response has been measured.

More

Don’t be caught out in your M&A negotiations by bid rigging or misleading conduct

Those involved in M&As should be on full alert as more allegations of bid-rigging emerge.

More

Putting out the welcome mat to foreign pension and sovereign wealth funds - MIT withholding tax changes

Foreign pension funds and sovereign wealth funds investing in Australian managed trusts will soon have access to the 15% concessional tax rate.

More

Andrews v ANZ - Do all contracts need to be rethought?

The true impact of August’s High Court decision in Andrews v ANZ is yet to be unleashed.

More

Infrastructure Reform in Queensland Part 3 - Removing Land Act obstacles

Queensland’s Land Act needs urgent reform to smooth the way for private developers to undertake important infrastructure projects.

More

Infrastructure Reform in Queensland Part 2 - Fixing the framework for developers and financiers

Outdated legislation is causing unnecessary problems and risks for developers and financiers in Queensland’s water, gas, electricity and rail sectors.

More

Investing in mining related infrastructure - What investors and contractors should know

Australia’s vast mining and resources sector has an unquenchable thirst for infrastructure. Billions of dollars needs to be invested in roads, railways and port facilities to support the sector’s export chain.

More

Infrastructure Reform in Queensland Part 1 - Solutions for the 21st Century

Important infrastructure projects in Queensland are being hampered by outdated legislation which is in urgent need of reform.

More Download

Our Experience

Aurora Energy

Corrs advised Aurora Energy in Tasmania in relation to the access to, and use and commercialisation of, the Basslink Fibre Optic cable that links mainland Australia to Tasmania.

Australia’s largest public sector water infrastructure project

Corrs Chambers Westgarth is playing an important role in the future Australia’s water supply – advising on the largest public sector investment in water infrastructure in our nation’s history, the AU$3.5 billion Victorian Desalination Project.

In the lead advisory role, Corrs’ Project team assisted the Victorian Government develop project funding solutions for PPP development of the mammoth seawater desalination plant – fully integrating with the technical, environmental, financial and insurance advisors.

Conducted against the background of the continuing global economic crisis, the team developed real-time solutions as the economy evolved, and still achieved contract close earlier than the announced timetable

Corrs was also involved in developing the project’s commercial structure, key approval public hearings and applications, briefing government decision makers, evaluating and advising on procurement, and negotiating finalised project documentation. Corrs has continued to play a lead role advising the State through the construction delivery phase and the range of complex issues arising from the substantial delays to completion.

Australasian Legal Business Awards 2012 Project Finance Deal of the Year - Wiggins Island Coal Export Terminal

Corrs advised QR Network on the Wiggins Island Coal Export Terminal and arrangements with the port owner, Gladstone Port Corporation in relation to the rail unloading facilities and the rail/port interface issues.

Corrs also advised Wesfarmers, who is one of the WICET consortium members.

The Wiggins Island Rail Project will be one of the largest port and rail expansions in Australia, and when completed, will support the transportation of 27 million tonnes per annum of coal. This is a key energy infrastructure project for Queensland’s coal industry and is the first in a number of projects that will significantly increase the capacity of the coal export supply chain in the region.

Brisbane Airport Link

Corrs Project team advised BrisConnections on all aspects of its successful bid, including negotiation of the project deed with the State, the design and construction sub-contract, and the operations and maintenance contract with the other project participants.

The project involved a $1.2 billion initial public offering of securities in BrisConnections and a $3 billion debt financing package.

Airport Link, a 6.7km multi-lane electronic free-flow toll road with dual 5.25km tunnels, will be Australia’s largest ever toll road infrastructure project by design and construction cost. The project is a priority transport infrastructure project for Brisbane and is designed to meet the needs of Brisbane’s rapidly rising population.

Corrs are the lead transaction lawyers for the BrisConnections consortium, which will deliver the Airport Link, Northern Busway and Airport Roundabout Upgrade projects. The Consortium, which includes Leighton Holdings, Macquarie Capital Group, Thiess and John Holland, was announced as preferred bidder for the project in May 2008.

Corrs advised on all aspects of its successful bid, including negotiation of the project deed with the State, the design and construction sub-contract, and the operations and maintenance contract with the other project participants.

The transaction was unusually complex. The design and construction sub-contract, for example, is the largest construction contract for an Australian Public-Private Partnership (PPP). It provides for the simultaneous design and construction of the publicly-financed and owned Northern Busway, the privately-financed and owned Airport Link toll road and publicly-financed and owned Airport Roundabout Upgrade.

Each type of work had its own challenges – the payment, environmental, approval, tenure and access regimes were different for each work package and had to be separately addressed in the subcontract.

Global investment in ConnectEast toll road

ConnectEast is a landmark toll road project owned by a number of foreign pension funds including Danish fund Arbejdsmarkedts Tillagspension (ATP) and UK fund Universities Superannuation Scheme (USS).

Corrs advised ATP and USS on their investment in the consortium which is managed by CP2 Limited -  an infrastructure fund manager with approximately A$3.5 billion in funds under management for a global client base of pension funds, sovereign wealth funds and other institutions.

Murchison Metals

Murchison Metals sold its interests in Crosslands Resources and the Oakajee Port and Rail project to its joint venture partner Mitsubishi Development for $A325 million.

The transaction, advised by Corrs, allowed Murchison to exit its investment for a cash return after an extensive strategic review process to maximise shareholder value in relation to these interests.

Port Botany and Port Kembla

Corrs advised a member of the NSW Ports Consortium in successfully bidding for the 99-year lease of Port Botany and Port Kembla from the NSW State Government. The ports were leased to the NSW Ports Consortium for $5.07 billion with an annual lease payment of $5 million.

The assets represent two of Australia’s largest ports and are both essential to the primary import and export gateways to NSW. Port Botany is vital to the economy of Sydney and NSW as the only large-scale container handling facility. Port Kembla serves as a key export facility for coal and other bulk products and is Australia’s largest vehicle import facility.

Our Thinking

M&A Year in Review 2016

Our latest M&A Year in Review highlights five key considerations ranging from pre-bid strategy during these uncertain times, through to the tactics necessary to edge deals over the line.

Australian Agriculture Investment Update - March 2016

Welcome to the March 2016 edition of the Australian Agriculture Investment Update, a quarterly publication prepared by Corrs Chambers Westgarth for clients and contacts who are interested in investment activity in the Australian agriculture sector.

Australian agriculture investment update

Welcome to the October 2015 edition of the Australian Agriculture Investment Update, a quarterly publication prepared by Corrs Chambers Westgarth for clients and contacts who are interested in investment activity in the Australian agriculture sector.

Regional China rises: Australian businesses should venture beyond Shanghai and Shenzhen to ride the Project of the Century

The central Chinese city of Xi’an offers a wealth of business opportunity.

Australia's M&A market 2015 - Ten trends that are shaping the market

Conditions seem ripe for M&A in 2015. So, what’s driving the market and how can bidders and targets improve their prospects for deal success?

M&A Review: 2014 mid-year update

As we pass the first half of the calendar year, we have checked in on the state of the public M&A market and here are our top ten findings.

Want to sell your idea to Government? An unsolicited proposal could be your answer

Unsolicited proposals are a means by which the private sector can propose new ideas to the State to deliver capital requirements outside normal procurement processes.

Root and branch competition policy review - What does it mean for infrastructure?

On 27 March 2014 the government released the terms of reference for its root and branch competition policy review and revealed the composition of the review panel.

Exit strategies in commercial relationships - Rethink after Andrews

Poorly drafted exit strategies risk being held unenforceable penalties. Does yours need a rethink?

State-owned enterprises offer vast opportunities…but some governments just don’t get it

While suspicion and fear is driving some governments’ responses to SOEs, Australia’s response has been measured.

Don’t be caught out in your M&A negotiations by bid rigging or misleading conduct

Those involved in M&As should be on full alert as more allegations of bid-rigging emerge.

Putting out the welcome mat to foreign pension and sovereign wealth funds - MIT withholding tax changes

Foreign pension funds and sovereign wealth funds investing in Australian managed trusts will soon have access to the 15% concessional tax rate.

Andrews v ANZ - Do all contracts need to be rethought?

The true impact of August’s High Court decision in Andrews v ANZ is yet to be unleashed.

Infrastructure Reform in Queensland Part 3 - Removing Land Act obstacles

Queensland’s Land Act needs urgent reform to smooth the way for private developers to undertake important infrastructure projects.

Infrastructure Reform in Queensland Part 2 - Fixing the framework for developers and financiers

Outdated legislation is causing unnecessary problems and risks for developers and financiers in Queensland’s water, gas, electricity and rail sectors.

Investing in mining related infrastructure - What investors and contractors should know

Australia’s vast mining and resources sector has an unquenchable thirst for infrastructure. Billions of dollars needs to be invested in roads, railways and port facilities to support the sector’s export chain.

Infrastructure Reform in Queensland Part 1 - Solutions for the 21st Century

Important infrastructure projects in Queensland are being hampered by outdated legislation which is in urgent need of reform.

Our Experts

DALEY Felicity website grey SIZED TH

Felicity Saxon

Special Counsel Sydney +61 2 9210 6585
Jeremy Horwood.jpg

Jeremy Horwood

Partner Brisbane +61 7 3228 9790
OCALLAGHAN Justin website grey SIZED TH

Justin O'Callaghan

Special Counsel Brisbane +61 7 3228 9853
Mellos Kon CMYK 90x130

Kon Mellos

Partner Melbourne +61 3 9672 3174
THORNE Nick FULL SIZE 90x130

Nick Thorne

Special Counsel Brisbane +61 7 3228 9342
GRAHAM Nicole website grey sized TH

Nicole Graham

Special Counsel Sydney +61 2 9210 6360
CLARKE Robert website grey SIZED TH

Robert Clarke

Partner Melbourne +61 3 9672 3215
MILLS Vaughan SF

Vaughan Mills

Partner Brisbane +61 7 3228 9875