Proxy advisers all back $20b Origin deal ahead of decisive week

afr.com:

The proposed $20 billion takeover of Origin Energy by a private North American duo has now won support from all major proxy advisers, paving the way for a nail-biting lead-up to a decisive shareholder vote on a deal that is opposed by the electricity supplier’s biggest investor.

Ownership Matters on Friday joined larger peers Institutional Shareholder Services and CGI Glass Lewis in recommending a vote for the $9.53-a-share cash offer from Brookfield and EIG that has been rejected by 15 per cent shareholder AustralianSuper.

Origin chairman Scott Perkins is urging shareholders to vote for the deal. Oscar Colman

The strong show of support from the firms that advise institutional investors comes as Canada’s Brookfield and US-based EIG launched a digital advertising campaign on Friday afternoon to support their offer, as they pursue all angles to try to get the deal over the line at the shareholder vote on November 23.

“The power’s in your hands,” the advertisement tells Origin shareholders. “Act now. $9.53 is our best and final price. It’s not too late to vote.”

The campaign supports one led by Origin to encourage shareholders to vote. The company is also using a proxy solicitation firm to directly contact shareholders and provide information on the offer.

The transaction requires 75 per cent support from voting Origin shareholders, with several institutional investors yet to make up their minds on the position they will take as they await further developments. But AusSuper’s rejection makes the target difficult to reach.

The Australian Council of Superannuation Investors, which represents super funds with $1 trillion in assets, declined to comment specifically on its recommendation, but a spokeswoman noted it considered