RedBridge Grant Samuel

RedBridge Grant Samuel is an independent advisory house specialising in the Asia-Pacific time zone with more than 50 corporate finance executives.

Experience

The RedBridge Grant Samuel Partners each have more than 20 years of experience focused on Mergers and Acquisitions in Australia, particularly involving offshore buyers. Nobody is more knowledgeable about the nuances of regulatory and market practice and views of Government and shareholders that impact successful transactions.

Commitment & Independence

RedBridge Grant Samuel only does acquisition work on complex and important transactions. There are no distractions or conflicts as come in large banks who have trading and other businesses.

Track Record

RedBridge Grant Samuel advised on three of the most significant completed takeover transactions in Australia over the last twelve months – the A$5 billion merger of Whitehaven Coal and Aston Resources, the acquisition of Talison Lithium by Chengdu Tianqi and the acquisitions of oOh! Media and EYE Corp by CHAMP Private Equity.

Unique Relationships

Andrew Low (CEO) is a member of the Takeovers Panel in Australia that reviews and regulates contentious issues around corporate control transactions. He and the other partners have a deep network at all levels of Government and financial markets in Australia.

What Differentiates Us?

ANDREW LOW Chief Executive Officer

Andrew is the Chairman and Chief Executive Officer of RedBridge Grant Samuel and has more than 22 years of experience in corporate finance, mergers & acquisition advice, banking, capital markets and principal investment in Australia, Asia, Europe and North America.

JOHN MORRISON B.E. (Hons) MBA Managing Director

John Morrison joined Grant Samuel in 1992. John has been involved in a wide variety of transactions and assignments including acquisitions, divestments, mergers, capital raisings and takeovers. He has significant experience in the resources industry. Prior to this he worked for two years in broking and four years in engineering in Australia and the United Kingdom.

Warwick Earl Director

Warwick joined Grant Samuel in the corporate advisory group in 2005. He has gained experience in several industries in both transactions and equity raisings, including specific experience with Asian resources transactions. Prior to joining Grant Samuel, Warwick worked in the Mergers and Acquisitions team of national law firm Minter Ellison, providing clients with a wide range of transactional and capital markets advice.

View RedBridge Grant Sammuel's other executives and advisory board.

Selected M&A Transaction Experience

View more comprehensive detail on RedBridge Grant Sammuel's past experience.

Case Study: Tianqi Group’s Acquisition of Talison Lithium

Transaction Background

  • Talison Lithium is the world’s largest lithium producer with ~30% market share. It is an Australian incorporated company listed on the Toronto Stock Exchange. Talison’s main asset is the Greenbushes lithium mine in Western Australia
  • Chengdu Tianqi Industry Group Co. Ltd is a leading Chinese producer of lithium carbonate and other lithium products. It sources its raw materials from Talison, and is Talison’s largest customer, accounting for close to 40% of Talison’s sales
  • On Aug 23, 2012, American chemical conglomerate Rockwood Holdings offered to acquire Talison at CAD 6.50/share under a friendly scheme of arrangement
  • Tianqi, concerned about Rockwood’s intentions should they acquire Talison, engaged RedBridge Grant Samuel to advise them on putting forward a competing proposal for Talison
    • RedBridge Grant Samuel advised Tianqi in acquiring a 19.99% ‘blocking stake’ in Talison (effectively given Tianqi the ability to vote down the Rockwood scheme)
    • At the same time, RedBridge and Tianqi worked on securing all the necessary Chinese regulatory approvals required for Tianqi to make a competing proposal
  • On Nov 19, 2012, Tianqi formally announced a proposal to acquire 100% of Talison under a scheme of arrangement
    • This was priced at a 10% premium to Rockwood’s offer
    • Rockwood then announced that CAD 6.50/share was their “best and final” offer
    • Tianqi also received FIRB approval to acquire Talison: this completed all the required Chinese and Australian regulatory approvals
  • On Dec 6, 2012, Tianqi and Talison entered into a recommended scheme of arrangement with the full support of Talison’s board and the major shareholder, Resource Capital Funds
    • Talison and Rockwood subsequently terminated their Scheme Implementation Agreement

Transaction Highlights

RedBridge Grant Samuel’s Strategic Advice Successfully Positioned Tianqi To Block A Competing Bidder
  • RedBridge Grant Samuel tailored a solution for Tianqi, which allowed them to block an international competitor bidding on Talison. The strategy of acquiring 19.99% of the target company successfully gave Tianqi a lot of leverage deterring the competitor from pursuing the transaction
  • A financial advisor with extensive experience and advice can assist Chinese enterprises successfully invest in / acquire foreign assets and/or protect sources of supply
Groundbreaking Transaction
  • This transaction represents a rare case of a privately-held Chinese enterprise successfully engaging in an international competitive bidding situation
  • With the support of advisers, this transaction reflects that Chinese enterprises can successfully win public market auctions and obtain the support of the target company’s Board of Directors’ and major shareholders in Australia and Canada
Expeditious Approvals Process
  • Supported by a strong team of advisers, Tianqi successfully and quickly obtained all approvals required domestically and internationally, including:
    • NDRC (China)
    • MOFCOM (China)
    • SAFE (China)
    • FIRB (Australia)
  • Tianqi’s proposed scheme of arrangement did not contain any NRDC, MOFCOM or SAFE conditions, removing some of the major conditions precedent that Chinese bidders typically place on transactions and removing a large cause of concern from Talison’s perspective

Recommended Reading

Contact

Location
Hong KongSingaporeSydney, Melbourne, PerthAuckland
Email
wearl@grantsamuel.com.au (Warwick Earl, Director)
Tel.

Hong Kong: +852 3669 8107
Singapore: +65 6808 6173
Sydney: +61 2 9080 0800
Melbourne: + 61 3 9949 8800
Perth: + 61 8 9429 5555
Auckland: + 64 9912 7777

Website
www.grantsamuel.com.au
Contact via CGA (Andrea Gottschalk)

Tel: +86 10 6505 8370

Email: contactus@chinagoabroad.com

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