REUTERS/David Gray Acquire Licensing RightsSYDNEY, Nov 24 (Reuters) - The long-term value of hotly contested $10.6 billion takeover target Origin Energy (ORG.AX) has been muddied by a government plan to accelerate the rollout of renewable energy, announced just hours before a key shareholder vote.
However, the potential for new investment via the government's scheme undercuts Brookfield's argument that Origin and Australia needed its deep pockets to decarbonise quickly, Vickerson said.
Pension giant AustralianSuper has argued Origin's stake in fast-growing British renewable energy company Octopus Energy, gas assets and millions of customers position the company well for the energy transition.
The government's new scheme only strengthens the fund's conviction about Origin, according to a person familiar with AustralianSuper's thinking.
However, Simon Mawhinney, chief investment officer at fund manager Allan Gray, which owns a roughly 3% stake in Origin, said the government's plan appears likely to push down returns.
Persons:
David Gray, AustralianSuper, Max Vickerson, Vickerson, Brookfield, Tom Leske, Simon Mawhinney, Allan Gray, Lewis Jackson, Sonali Paul
Organizations:
REUTERS, Rights, Energy, Morgans, Origin, AGL Energy, Churchill Capital, Octopus Energy, Thomson
Locations:
Sydney, Chatswood, Australia, Brookfield