Australia’s Treasurer Josh Frydenberg has made his final decision to block CK Asset Holdings Ltd.’s proposed $13-billion acquisition of Sydney-based gas pipeline operator APA Group, saying it would be contrary to the national interest.
“I have formed this view on the basis that it would result in a single foreign company group having sole ownership and control over Australia’s most significant gas transmission business,” Frydenberg said.
Just weeks ago, the Australian government decided against the acquisition citing national security concerns (OGJ Online, Nov. 9, 2018).
“My decision is not an adverse reflection on CK Group or the individual companies. CK Group companies are already a substantial investor in Australia’s gas and electricity sectors and a significant provider of infrastructure services that millions of Australians rely upon. The Australian government welcomes CK Group’s investments in Australia and its broader contribution to the Australian economy,” the treasurer said.
Frydenberg added that he considers each foreign investment proposal on its merits.
