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Freehills, top tier, on Transpacific capital raising
Freehills, Clayton Utz and Mallesons have each scooped a position on the Warburg Pincus investment in Transpacific's $800 million capital raising.
Kate Gibbs
Freehills, Clayton Utz and Mallesons have each scooped a position on the Warburg Pincus investment in Transpacific's $800 million capital raising.
The equity investment is set to go ahead with a recapitalisation plan released to the market. It involves a renounceable entitlement offer, which will follow the $800 million private equity placement, giving chairman Terry Peacbody to subscribe to $70 million worth of new shares, Business Spectator reports today. The net proceeds will be used to reduce Transpacific's debt to its banking syndicate, close out a portion of its interest rate swap contracts and as working capital, Freehills said of the deal. Warburg, meanwhile, has just abandoned its stake in China's Huiyuan Juice. The process has been long-coming for Transpacific, which was advised by Clayton Utz, as well as Macquarie Capital and Deutsche Bank. Freehills worked with Freshfields Bruckhaus Deringer in advising Warburg Pincus. Mallesons, meanwhile, advised on the underwriting agreements. The Freehills team was led by partner Mark Crean, who worked with partner Patrick Lowden and senir associate Faith Sing. Philippa Stone, the equity markets expert and M&A partner in Sydney, as well as partner Peter Dunne, gave specialist input. The wide-ranging input came due to the nature of the deal, Crean said. "The deal ... blended M&A, capital markets and private equity fund issues." Cornerstone investments has been relatively uncommon in the Australian market, until now, said Crean. "We are seeing more listed entities increasingly considering PIPEs funding form private equity and other cornerstones as a source of capital," he said.
