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Johns Lyng Group to be Acquired by Pacific Equity Partners for $1.1 Billion

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By Colin Hay - 
Johns Lyng Group ASX JLG Acquired Pacific Equity Partners
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Johns Lyng Group (ASX: JLG) has entered into a scheme implementation deed under which it will be acquired by Sherwood BidCo, a subsidiary of leading Australian private equity investment firm Pacific Equity Partners (PEP).

Under the scheme, Sherwood will pay $4.00 per JLG share, valuing the building services specialist at approximately $1.1 billion with an enterprise value of $1.3 billion.

The offer price represents a 77% premium to JLG’s closing share price as at 15 May 2025 (the day prior to the receipt of PEP’s non-binding and indicative offer) and 66% to the 30-Day volume-weighted average price to that date.

Attractive Valuation

Johns Lyng said the scheme consideration represents an attractive valuation for its shareholders, with the company’s independent board committee unanimously recommending they vote in favour of the scheme in the absence of a superior proposal and subject to an independent expert concluding that the scheme is in their best interests.

“We are pleased that PEP has recognised the value of JLG’s integrated building services operations across Australia, New Zealand and the United States,” Johns Lyng chair Peter Nash said.

The board based its recommendation on a thorough evaluation of a range of factors including JLG’s intrinsic value under different scenarios and the potential medium-term share price without the scheme, along with Johns Lyng’s underlying business performance over the last two years and the company’s current business outlook.

Distinctive Culture

PEP managing director Matthew Robinson said Johns Lyng had built a strong business with a distinctive culture.

“We look forward to working with the company and its employees in continuing to support customers into the future,” Mr Robinson added.

JLG’s largest shareholder Scott Didier – also the company’s current managing director and chief executive officer – has entered into a co-operation deed with the bidder for his 17.64% holding.

Sydney-headquartered PEP – Australasia’s oldest and largest private equity firm, with $16 billion in assets under management across various investment strategies – expects the to finalise the transaction, which is still subject to JLG shareholder approval, by the end of 2025.