The offer price is €20.50 per share (coupon attached), representing a significant premium on the intrinsic value of SUEZ, which can be redeemed wholly in cash. For more details on the agreement please read the press release issued on May 14th.
On May 14th, Veolia and SUEZ signed a combination agreement confirming the terms of the agreement in principle announced on April 11th and confirming that both the closing of the public offer and the creation of the new SUEZ would take place simultaneously by the end of 2021.
● June 29th, 2021:
⇒ Recommendation from the SUEZ board on the public tender offer by Veolia
⇒ Filing of the revised information memorandum to the French stock market regulator (AMF)
⇒ Submission by the Consortium (Meridiam–GIP–CDC/CNP) of a binding offer for the new SUEZ
● June 30th, 2021 – SUEZ AGM
● July 2021 – Certification of compliance by the French stock market regulator
● Q3 2021 – European Commission antitrust clearance
● Q4 2021
⇒ Tender offer settlement and closing of Veolia’s public offer
⇒ Closing of the disposal process of the new SUEZ to the Consortium
SUEZ and Veolia have set the end of 2021 as a common objective for the simultaneous closing of the public offer and the sale of the new SUEZ to the Consortium, subject to regulatory and competition approvals.
Veolia will raise between 2 and €2.5bn in further capital to finance the operation. To find out more on the agreement please read the latest press releases here.
The success of this merger will come from the women and men forming the new group and a rigorous process will be initiated to identify talent from both businesses.
A Memorandum of Understanding was signed on May 14th by Veolia, SUEZ and the Consortium of investors composed of Meridiam, Global Infrastructure Partners (GIP), Caisse des Dépôts and CNP Assurances.
GIP and Meridiam will each hold 40 per cent of the new SUEZ, while CDC/CNP will take a 20 per cent stake. The Consortium’s offer also provides for an initial employee shareholding of three per cent, which can be increased to 10 per cent of share capital within seven years.
This agreement has been studied by the Boards of Directors of Veolia and SUEZ, which consider it to be in line with the objectives set out on April 11th. The Consortium confirmed its long term commitment to the new SUEZ whist supporting its development and growth.
This cash offer is open to all SUEZ shareholders. No decision has been taken to date on the possibility of an offer in shares.
The SUEZ board has already accepted Veolia’s offer of €20.50 per share (coupon attached) and Board’s recommendation is expected on or before June 29th. No further action is expected from shareholders ahead of the next AGM scheduled on June 30th.
The deal is expected to close by the end of 2021. As a SUEZ shareholder you will have the ability to tender your shares after all necessary regulatory approvals have been obtained. All details will be provided in due course via the usual communications channels for institutional and retail investors. For specific questions on your SUEZ or Veolia shares please contact us.