Qube (QUB AU): Macquarie's Lobs NBIO

• Qube Holdings (QUB AU), a logistics and infrastructure play, has announced a A$5.20/share non-binding indicative Offer from Macquarie Asset Management, a unit of Macquarie Group (MQG AU).

• That is a 27.8% premium to last close. And ~14.4x FY25 EV/EBITDA. The proposal “follows an earlier unsolicited, non-=binding and indicative offer at lower value.” Dividends paid will be netted.

• Qube directors are supportive. The proposal is conditional on due diligence, board approvals, no MACs at Qube, plus regulatory clearance, including FIRB and ACCC signing off.

The Trade:

• This appears a pretty clean deal.

• Timing to completion is the wild card - especially as it relates to ACCC.

• This is trading at 7.7%/10.5% gross/annualised spread, assuming nine months to wrap up.

• Franking credits may be afforded, for those who can take advantage.