AB← The Aussie Bite

← Back to all deals

Washington H. Soul Pattinson and Co. → Brickworks Limited

completed
Deal announced2025-06-02
BuyerWashington H. Soul Pattinson and Co.
SellerBrickworks Limited
SectorFinancial Services
ValueA$12.7B
Deal typeM&A

Soul Patts and Brickworks merged via a new holding company ("TopCo"), unwinding a complex 56-year cross-shareholding between the two companies. Reported deal size varies by measure (around $12.7-14bn); the schemes became legally effective in September 2025.

Why the buyer wanted it

Soul Patts, an investment house, wanted a simpler, more transparent structure that combined its diversified investment portfolio with Brickworks' industrial property and building products expertise, ending five decades of cross-shareholding that had made both companies hard to value cleanly.

Why the seller agreed

Brickworks shareholders received 0.82 TopCo shares per Brickworks share, implying a 10% premium, and gained direct exposure to Soul Patts' broader investment portfolio instead of an indirect cross-holding stake.

Stock reaction

Not precisely detailed in available coverage; combined market capitalisation was reported at roughly $19bn on the day of announcement, versus about $14bn pre-announcement.

Analyst / market commentary

Widely viewed as a meaningful step toward a cleaner, more transparent investment case for both companies by removing a valuation overhang that had persisted for 56 years.

Deal mechanics

Buyer's advisors

Not publicly disclosed

Seller's advisors

King & Wood Mallesons (legal adviser to Brickworks)

Deal structure

Top-hat merger scheme: a newly capitalised TopCo issued one share per Soul Patts share and 0.82 TopCo shares per Brickworks share, with a buy-back mechanism ensuring cross-held shares weren't carried forward

Valuation multiple

Not publicly disclosed

Regulatory approval

Approved by the Supreme Court of New South Wales; schemes became legally effective on 15 September 2025

Financing source

All-scrip merger; included a $550m fully underwritten placement and $220m of additional commitments

Comparable deals in Financial Services

Learn more