On the 18th August, EQT Holdings (EQT AU), a corporate trustee and fiduciary-services outfit, announced a NBIO from TPG of A$24.55/share, by way of a Scheme.
TPG requested four weeks of exclusive due diligence. Terms appeared opportunistic. But conscious of the ongoing ASIC litigation and super-exit restructuring costs, I wasn’t overly bullish. I was wrong.
BGH Capital has now made a A$24.75/share NBIO, by way of a Scheme. EQT is evaluating both proposals. The share price is up ~9% as I type to A$22/share.
EQT Holdings (EQT AU) is not very liquid. Look away now if this is not your bag.
The Trade:
Terms remain indicative.
The ASIC investigation remains a material overhang.
The timing of TPG’s and BGH’s Offers appear opportunistic.
However, ~A$25/share is ~9x/~8x trailing/forward EV/EBITDA.
I would argue that is a full price.
FY26 results pushed out to the 27th August.