A group of Australian investors made a multibillion-dollar takeover bid for Sydney Airport on Monday, sending its stock price surging.
A group of infrastructure investors and Australian pension funds offered Aus$8.25 per share, or Aus$22.3 billion (US$17 billion) in total.
The proposal was made “during a global pandemic that has had a profound impact on the aviation industry and the security price at Sydney Airport,” according to a statement from the airport’s board to the Australian Securities Exchange.
“The indicative price is lower than the security pricing at Sydney Airport before the pandemic.”
The investors dubbed the Sydney Aviation Alliance, verified the strategy, claiming to have contributed on behalf of almost six million Australian pension fund members.
The alliance said that the idea would ensure long-term Australian control of the country’s busiest airport, claiming that it was “in the long-term interest of Sydney and the travelling public.”
The offer boosted Sydney Airport’s share price by more than 30%, and the company’s board is currently considering it.
