AGL to acquir AlintaAGL retail business


Sydney, AGL Energy has confirmed that it is negotiating with Macquarie Bank and Babcock & Brown to buy the remaining 67 per cent of the AlintaAGL retail business, should either successfully acquire Alinta.

"Whilst no agreement to acquire the retail business has yet been signed with either party, an agreement with Macquarie will be entered into if Macquarie submits a new revised bid for Alinta," AGL said.

The Australian Financial Review reported today that Macquarie might lodge a rival bid for Alinta, which has recommended a 7.4 bln aud bid from Babcock & Brown.

It said Macquarie plans to sell to AGL the 67 pct of the AlintaAGL energy retailing business AGL does not already own in exchange for AGL agreeing to sell to Macquarie its interests in several Alinta generators.

The newspaper said Macquarie may be planning to use the proceeds of the AGL deal, which could be about 400 mln aud, to fund a cash return to Alinta's shareholders as part of a sweetened offer.