Midocean Energy and Brookfield Renewable Partners, along with its institutional partners and investors, have reached a Scheme Implementation Deed with Australian power generator and energy retailer Origin Energy to acquire its 100% shares.
The scheme gives Origin an enterprise value of A$18.7bn ($12.4bn).
Upon completion of the deal, Brookfield and its institutional partners and investors, GIC and Temasek Holdings, will own Origin’s energy markets business.
MidOcean, an LNG company formed and managed by EIG, will own Origin’s integrated gas business, which includes its upstream gas interests, as well as a 27.5% interest in Australia Pacific LNG (APLNG).
Additionally, MidOcean agreed to sell a 2.49% stake in APLNG on to ConocoPhillips, which currently holds 47.5% in APLNG.
Brookfield plans to increase Origin Energy’s renewable generation capacity and facilitate the development of up to 14GW of new assets over the next decade.
It also plans to bring in the Indian firm, Reliance Industries, to evaluate areas of collaboration in the renewable energy sector.
Brookfield Asia Pacific CEO Stewart Upson said: “The acquisition of Origin Energy presents Brookfield with a unique opportunity to invest at least $20 billion and make a material difference to achieving Australia’s net-zero targets.
“We will build on the success of our global renewable power and transition business where we have a mandate to ‘go where the emissions are,’ putting billions of dollars behind an executable plan to reduce emissions at Origin.
“Brookfield has the capital, expertise, supply chain strength and global track record that are needed to transform Origin’s generation fleet to greener sources and accelerate Australia’s energy transition while ensuring network security and reliability.”