Good evening,

AusNet Services was Monday’s M&A surprise, revealing a $17 billion bid (including debt) from Brookfield.

The bid, Brookfield’s third nibble in the past month or so, was enough to get the Canadian giant an eight-week look at AusNet’s books on an exclusive basis.

Sources said AusNet used exclusivity to extract a higher offer from Brookfield – although there are the usual carve-outs which mean any superior offers will be considered carefully.

Rival infrastructure owners are sure to spend the next week or two deciding whether to make a play. The likes of APA Group, CKI and QIC Ltd have looked closely at AusNet in recent years, and have one final chance to turn early interest into something more serious.

The potential sticking point, of course, is AusNet’s two strategic investors, who together own 51 per cent of the register.

Elsewhere, we delve back into IGO and its bid for Western Areas, have spotted Judo readying to meet investors for its pending IPO, found Tourism Holdings pitching Australian fund managers and picked up news of Gresham’s latest mandate.

Happy reading,
Anthony Macdonald, Yolanda Redrup and Kanika Sood
Street Talk editors