Qube Holdings of Australia declared on Monday that Macquarie Asset Management has submitted a non-binding offer to acquire the logistics firm at an enterprise value of 11.6 billion Australian dollars ($7.49 billion).
Macquarie has agreed to acquire Qube for AU$5.2 per share in cash, which is close to a 28 percent premium over Qube’s closing share price of about AU$4.07 on Friday.
The Qube shares surged over 20 percent to a record high of AU$4.89 on Monday as the parent company of the asset management unit Macquarie Group dropped by up to 0.37 percent to AU$193.38.
The takeover bid came after a round of negotiations following an earlier unsolicited lower offer by Macquarie Asset Management, which Qube said in its filing, but has not stated the value of the previous offer made.
As per the filings, the enterprise value is approximated at 14.4 times the earnings of Qube’s before interest, taxes, depreciation, and amortization or EBITDA of the financial year 2025.
Enterprise value is usually used to describe the total value of a company, including market capitalization and cost of paying off the debt, excluding cash.
The operations of Qube primarily concern container leasing, car and grain cargo terminals, and road and rail transport services.
The agreement is bound by “satisfactory completion” of due diligence on Qube’s and its operations, final approval by the boards of both companies, and regulatory approval.
Qube reported entering into an exclusivity deed with Macquarie, whereby the asset manager would have a chance to conduct due diligence up until February 1, 2026.
In a filing, Qube’s Chairman John Bevan said that “We look forward to continuing to engage constructively in the best interests of our shareholders.”
A spokesperson for Macquarie Asset Management declined CNBCs refused for comment, in an emailed response Monday.
Macquarie Asset Management is overseeing nearly AU$960 billion in both the public and private markets and has portfolio firms in the infrastructure sector, real estate, and agriculture sectors.
After the announcement made by Qube, Samuel Seow, Citi Bank, vice president, and equity analyst, reinstated his “buy” rating on the company with a price target of AU$4.9.
Seow identified the risks of unsound downsides like competing on prices in the Australian logistics market and industrial action, which can affect the employees of Qube.
The Qube-Macquarie recommended transaction is timely, as the Australian logistics sector has been experiencing increased dealmaking in the country, with key players in the sector looking to increase their presence in the country.
DP World, which manages terminals and warehouses at ports throughout Australia, recently purchased Silk Logistics to the tune of AU$175 million, acquiring its landside warehousing and wharf cartage transportation business, operations that involve transferring goods out of ports to warehouses or other ports.
Lindsay Australia acquired SRT Logistics in May, the largest refrigerated supply chain operator in Tasmania, at a price of approximately $108 million, raising the stakes in its national cold chain presence.
That came after the acquisition of GJ Freight earlier in the year, as Lindsay wants to extend its operation in Western Australia.
Eventually, the world’s largest miner, Australia’s BHP Group, announced on Monday that, was giving up its bid to buy British mining firm Anglo American, after having tried to acquire Anglo American at a reported value of $49 billion last year.
