Sun. Dec 10th, 2023
    The Battle for Origin Energy: A High-Stakes Proxy Vote

    The fate of Origin Energy hangs in the balance as the proxy votes start pouring in, setting the stage for a momentous showdown between the Australian energy company and its suitors. This crucial vote will determine whether the proposed $20 billion takeover by Brookfield and EIG Partners will go through.

    Proxy votes, which were cast ahead of the scheme meeting, are due by 2pm. While the initial indications suggest that there are more votes in favor of the deal, all eyes are on the “no” votes. AustralianSuper, the largest shareholder of Origin with a 17.5% stake, has already committed to voting against the proposed deal and hopes to persuade other investors to follow suit.

    To secure success, the scheme requires approval from at least 75% of shares cast at the meeting or via proxies. The battle is undoubtedly intense, with both the buyer and seller fully invested in the outcome. Each vote holds immense value, not only for the scheme meeting but also as a referendum on Origin’s future.

    As the early votes trickle in, the Brookfield/EIG consortium and their advisers have the opportunity to approach the “no” voters and make a last-ditch effort to sway their decisions. It’s a race against time, with both parties aware that every vote counts in this closely contested contest.

    Though AustralianSuper is staunchly opposed to what it perceives as desperate behavior, accusations and tensions continue to escalate. This takeover battle signifies a pivotal moment in Australia’s energy transition, determining who will spearhead the industry’s future direction.

    While Origin has chosen not to disclose the early vote results, it has updated investors on the valuation of its offer. Grant Samuel values each Origin share at $8.45 to $9.48, while the revised bid from Brookfield/EIG stands at $9.43 per share. Despite the uncertainty surrounding the outcome, both parties are determined not to walk away empty-handed.

    As the battle for Origin Energy intensifies, the stories emerging from this historic proxy vote will undoubtedly reverberate across the Australian business landscape. From the high-stakes pressure to the tactical maneuvers employed by AustralianSuper and Brookfield, this contest will leave a lasting imprint on the memories of those involved.


    1. What is a proxy vote?

    A proxy vote allows shareholders to vote on a company’s affairs without being physically present at a meeting. Shareholders can appoint a proxy to vote on their behalf.

    2. What percentage of votes is needed for the scheme to be successful?

    The scheme requires approval from at least 75% of shares cast at the meeting or via proxies to be successful.

    3. Who are the major players in the battle for Origin Energy?

    Origin Energy is facing a takeover bid from Brookfield and EIG Partners. AustralianSuper, the largest shareholder in Origin, has committed to voting against the proposed deal.

    4. What is at stake in this proxy vote?

    This proxy vote will determine whether Origin Energy will be acquired by Brookfield and EIG Partners. It also carries significant implications for the future of Australia’s energy industry.