Big Law heavyweights line up on KKR’s £5.75bn energy take-private

A heavyweight line up of Big Law firms have secured top spots on the proposed £5.75 billion take-private of FTSE 100 DCC Energy by a consortium formed by KKR and Energy Capital Partners (ECP).

Gibson Dunn is acting for KKR and Latham for ECP, both acting as co-counsel to the consortium, while Cleary is advising its long-standing client DCC Energy on the buyout. For Irish legal advice, KKR has tapped Dublin firm Arthur Cox and ECP has engaged Matheson.

The Dublin-headquartered and London-listed energy sales and distribution company supplies fuels, liquid gas, and energy solutions to the commercial and industrial, public, and domestic sectors. It also delivers off-grid energy solutions, and operates service stations and fleet services.

'An attractive premium'

Mark Breuer, chair of DCC Energy, said the Board “believes the Consortium's offer represents a compelling opportunity for shareholders to crystallise value in cash at an attractive premium to DCC Energy's historical trading price”.

The board of DCC rejected an initial offer of £4.95 billion from the consortium in April, which it said “fundamentally undervalues the company and its future prospects”.

The deal would be KKR’s largest European take-private in more than a decade and is expected to complete in the first quarter of 2027.

A growing exodus

The deal is the latest instalment of a growing exodus from the London Stock Exchange as private equity buyers, as well as domestic and overseas competitors, look to acquire major London-listed companies.

Earlier this month, Weil, Linklaters and Debevoise & Plimpton acted on FTSE 250 facilities management group Mitie’s £3.1 billion take-private, while Hogan Lovells and Linklaters advised on the ingredient giant Tate & Lyle’s recent £2.7 billion public-to-private.

This adds to the take-privates in recent months, including a high-tech manufacturer for £1.4 billion, EQT’s £11 billion takeover of FTSE 100 manufacturer Intertek and insurer Beazley’s £8 billion takeover.

Advising

The Latham team is led by London corporate partners Doug Abernethy and David Walker, advising ECP and its consortium.

The Gibson Dunn team is led by London corporate partners Will McDonald and Federico Fruhbeck, advising KKR and the consortium.

Arthur Cox is acting as Irish legal adviser to KKR, and Matheson is providing Irish legal advice to ECP.

Cleary is advising its long-standing client DCC Energy on the buyout, with London partner Nick Rumsby leading.

Kirkland secured the buyer’s debt financing mandate, with London partners Sinead O'Shea and Jia Meng leading.

Ashurst Perkins Coie is advising Goldman Sachs and Morgan Stanley as lead financial advisers to the buyer consortium. The team is led by London partners Tom Mercer and Darren Phelan.