AUSTRALIA Trends and Developments Contributed by: Lewis Grimm, Alastair Gourlay, Dean Bao and Emily Tsoi, Jones Day
Conclusion Australia’s acquisition finance market in 2025 is both globally integrated and uniquely local. For international sponsors and lenders, suc- cess depends on understanding how global deal terms interact with Australia’s legal, regulatory and tax environment. While private credit con- tinues to gain ground, banks remain vital. While global documentation is increasingly common, local enforceability still shapes outcomes. Deal flow is expected to rise as central banks ease monetary policy and private equity funds deploy record dry powder. The coming merger control regime and geopolitical focus on Indo- Pacific supply security will keep diligence and approval timelines under pressure. Financing capacity should remain ample, but all in pricing may stay above pre-pandemic averages given base-rate uncertainty and lender caution after recent liability management attempts.
The best outcomes will be achieved by those who respect the differences, not just the similari- ties. Engage advisers who understand the cross- border context. Take a position on liability man- agement risks and responses. Think carefully about covenant calibration and ESG data collec- tion and metrics. Structure for tax, but execute for certainty. Secure indicative terms from both private credit funds and banks because blended solutions often deliver the best mix of speed and price. For those prepared to engage with nuance rather than assume uniformity, Australia remains one of the most bankable and investable acquisition finance markets in the region.
40
CHAMBERS.COM
Powered by FlippingBook