{"id":615623,"date":"2026-09-05T20:40:17","date_gmt":"2026-09-05T20:40:17","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/615623\/"},"modified":"2026-09-05T20:40:17","modified_gmt":"2026-09-05T20:40:17","slug":"dcc-wins-e6-6bn-support-from-major-investor-advisory-firms-the-irish-times","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/615623\/","title":{"rendered":"DCC wins \u20ac6.6bn support from major investor advisory firms \u2013 The Irish Times"},"content":{"rendered":"

DCC<\/a> Energy has secured the backing of the world\u2019s two most influential investor advisory firms for its planned sale to two US<\/a> private equity firms in a deal worth up to \u00a35.73 billion (\u20ac6.67 billion), in advance of a crucial shareholder vote in less than two weeks. <\/p>\n

Institutional Shareholder Services<\/a> (ISS) said that the offer from KKR and Energy Capital Partners \u201cprovides a reasonable premium and cash certainty\u201d after the stock market failed to give DCC credit for having largely completed a strategic transformation. <\/p>\n

\u201cWhile the stand-alone strategy may deliver additional value over time, doing so would require successful execution and meaningful change in market perception,\u201d ISS said. \u201cOn balance, therefore, the offer provides a credible opportunity for shareholders to crystallise value today while avoiding these uncertainties.\u201d <\/p>\n

Rival Glass Lewis<\/a> noted that while a number of major investors \u2013 including Fidelity International (FIL) and DCC\u2019s founder, Jim Flavin \u2013 have publicly argued that the bid should be rejected, it was reasonable for investors to conclude that the offer \u201crepresents an attractive option\u201d. <\/p>\n

It said it should be seen against the fact that DCC \u201chas been unable to drive material increases in trading value, secure a revised valuation or generate any competing offers\u201d. <\/p>\n

DCC, led by chief executive Donal Murphy, revealed in late April that it had received a \u20ac58-a-share offer from KKR and Energy Capital partners following years of underperformance by the stock relative to target prices set by analysts. <\/p>\n

While the initial proposal was rejected outright, DCC finally agreed in late July \u2013 after back-and-forth in the intervening months \u2013 to sell itself to the consortium for a \u00a365.25-a-share upfront payment and the prospect of \u00a31.25 extra per share if the Irish company\u2019s tech division achieves at least $800 million (\u20ac688.6 million) in a sale. <\/p>\n

The unit, known as Nexora, has been on the market for months. <\/p>\n

The takeover deal values the upfront cash offer at a 21.3 per cent premium to DCC\u2019s closing share price in London \u2013 where it is listed \u2013 on April 28th, before it emerged that KKR and Energy Capital were circling the group.<\/p>\n

DCC, whose businesses once spanned Robert Roberts tea and coffee to waste management, decided in late 2024 to abandon the remaining elements of its conglomerate roots to focus on energy. It subsequently sold its healthcare division and part of its tech business, with the remainder of that division currently on the market. <\/p>\n

Murphy told The Irish Times on the day of the takeover deal announcement that while the board \u201cabsolutely believes\u201d the remaining energy division is on course to double its operating profit to \u00a3830 million between 2022 and 2030, the target is \u201cnot without risk\u201d when weighted against an uncertain geopolitical and macroeconomic backdrop as well as the need for the group to invest \u00a31 billion-\u00a31.2 billion.<\/p>\n

DCC said in a statement on Wednesday that the bid consortium \u2013 using a corporate vehicle called Dragon Bidco \u2013 had confirmed that its offer \u201cis final and will not be increased\u201d.<\/p>\n

\u201cBidco considers the financial terms of the acquisition to reflect the full and fair value for DCC Energy,\u201d it said, adding that the DCC Energy directors have unanimously recommended that shareholders vote in favour of the acquisition at the extraordinary general meeting on September 18th. <\/p>\n","protected":false},"excerpt":{"rendered":"DCC Energy has secured the backing of the world\u2019s two most influential investor advisory firms for its planned…\n","protected":false},"author":2,"featured_media":615624,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[72,11982,210650,34614,65701,55052,61,60,4918,230357,115],"class_list":["post-615623","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-business","tag-dcc","tag-donal-murphy","tag-fidelity","tag-ftse","tag-glass-lewis","tag-ie","tag-ireland","tag-iss","tag-jim-flavin","tag-united-states"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/615623","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=615623"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/615623\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/615624"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=615623"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=615623"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=615623"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}