King & Wood Mallesons (KWM) is proud to announce its role as legal adviser to Brickworks Limited in its proposed merger with Washington H. Soul Pattinson and Company Limited.
This landmark transaction will create a newly capitalised top-hat entity, enhancing the scale and operational efficiency of both companies. The combined market capitalisation of both companies was approximately $14 billion pre-announcement (and in excess of $19 billion at close of ASX trading on the day of announcement).
As part of the deal, the new entity undertook a substantial $550 million capital raise to support the merger and strengthen its future balance sheet. Further capital will be raised by that entity closer to implementation. The KWM team has advised on all aspects of the transaction and capital raising.
The KWM team includes Partners David Friedlander, Judith Taylor, Robert Kelly and Daniel Natale, alongside Senior Associates Jaspreet Nagra, Ned Sutton and Jim Zovaro.
Commenting on the transaction, Judith Taylor said:
“We are excited to support Brickworks in this transformative merger, which creates a modern, fit-for-purpose entity offering significant value to shareholders of both companies.”
Further commenting, David Friedlander said:
“The success of this deal sends two important signals. Current volatility aside, it is possible to find valuation common ground on scrip-for-scrip transactions. Also, capital markets are open and willing to support deals.”
KWM’s support for Brickworks on this transaction continues the firm’s enduring relationship with the company, which notably includes previously defending Brickworks from shareholder activism concerning the ownership structure - which this deal addresses.
The merger is expected to be implemented in September 2025. KWM looks forward to continuing its support as the transaction progresses.
