Link Administration Holdings Limited (ASX:LNK) agreed to acquire Capita Asset Services Businesses from Capita plc (LSE:CPI) for approximately £890 million on June 23, 2017. The consideration will be paid in cash on cash free, debt free basis. The acquisition will be funded via a fully underwritten AUD 883 million (£525.2 million), 4 for 11 pro rata accelerated renounceable entitlement offer with retail rights trading with balance of the acquisition funded through a combination of cash and AUD 664 million (£394.97 million) of debt from existing facilities and a new £485 million acquisition debt facility. For the 12 months ended December 31, 2016, Capita Registrars Limited generated operating profit of approximately £60 million, revenue of £316 million and operating EBITDA of £72 million and had gross assets of approximately £794 million as at the same date. The transaction is subject to certain regulatory and other approvals. Mandatory regulatory approvals were received on October 23, 2017. Transaction is expected to complete by December 31, 2017. As of October 23, 2017, the transaction is expected to close on November 3, 2017. The transaction is expected to have Strong positive EPS accretion on a pro forma FY17 basis before the impact of efficiency benefits, mid teens EPS accretion prior to the adjustment to reflect the bonus factor element of the entitlement offer and over 20% EPS accretion post adjustment to reflect the bonus factor element of the entitlement offer. The proceeds from sale will be used to reduce indebtedness, including the Link Administration Holdings Limited's receivables financing facility.

Anthony Gutman, Charlie Lytle, Jose Barreto and Chris Emmerson of Goldman Sachs International acted as financial advisors to Capita plc. J.P. Morgan Australia Limited acted as financial advisor while Grant Koch, Adrian Tan, Jon Hayes, Rebecca Holden, Michael McKee, Roger Gough, Peter Brook, Nicholas Turner and Onno Bakker of DLA Piper and Mark Leemen, Keegan Lopez, Thomas Pertsoulis, Madison Smith, Tony Sparks, and Ka Sen Wong of Allen & Overy acted as legal advisors to Link Group. Stephen Drewitt and Tom Rose of Macfarlanes LLP acted as legal advisors to management team of Capita Asset Services. Jon Cox-Brown, Nigel Cooke, Chris Halliday, Richard Prowse, Rachel Cooper, Vanessa Challenger, Richard Johnson, Tom Milburn, Elizabeth Blackwell, Aaron Hulston and Peter Mchugh of Eversheds Sutherland acted as legal advisors to Capita plc.