Thursday 23 May 2019

Maddocks is advising Kidman Resources on its A$776 million acquisition by Wesfarmers by way of a scheme of arrangement.

Kidman Resources is an ASX-listed company developing the world class Mt Holland Lithium Project in a 50:50 joint venture called Covalent Lithium with Sociedad Quimica y Minera de Chile S.A. (SQM), one of the world’s largest producers and marketers of lithium products. Kidman is headquartered in Melbourne, Australia.

As a long-term legal adviser to Kidman, Maddocks has advised the company on a number of significant previous developments, including the formation of its Mt Holland joint venture with SQM, resolution of tenement and forfeiture issues, and negotiation of proposed off-take arrangements with a number of investment grade counter-parties, including Tesla, Inc. Maddocks has advised the company and its Board on ordinary course listed company matters over recent years.

Maddocks detailed knowledge of Kidman, together with its focus on pragmatic, commercial execution, has ensured a smooth diligence and negotiation process culminating in the entering into of the scheme of arrangement today. In addition to Kidman and Wesfarmers, Maddocks has been involved in liaising and negotiating with multiple stakeholders in the transaction, including SQM, major shareholders in Kidman and offtake counterparties.

Maddocks will now advise Kidman on the next stage of its engagement with Wesfarmers, leveraging its experience and capabilities in public markets M&A to execute on the scheme of arrangement.

The Maddocks team acting for Kidman Resources on this transaction is led by partners Ron Smooker and Cath Debreceny, and includes senior associate Jacqueline Picone, and lawyers Sharee Darwinkel and Alexandra Hodsman.

About Maddocks:

Maddocks is a proudly independent Australian law firm that works closely with corporations, businesses and governments throughout Australia and internationally. We advise national and international clients across the built environment, education, government, healthcare and technology sectors, from our Canberra, Melbourne and Sydney offices. Our specialist expertise includes dispute resolution and litigation, employment and safety, financial services, franchising and insolvency.