Trading Halted as Johns Lyng Group Acquisition Clears Final Court Hurdle
Johns Lyng Group’s acquisition by Sherwood BidCo has been legally approved, triggering a suspension of JLG shares on the ASX. Shareholders are set to receive $4 per share or scrip consideration by late October.
- Supreme Court of NSW approves Johns Lyng Group acquisition scheme
- Trading of JLG shares suspended on ASX from 14 October 2025
- Scheme implementation expected on 23 October 2025
- Shareholders to receive $4 cash per share or scrip consideration
- Record date for shareholders set at 16 October 2025
Scheme Approval and Legal Effectiveness
Johns Lyng Group Limited (ASX – JLG) has reached a critical milestone in its acquisition journey, with the Supreme Court of New South Wales granting formal approval to the scheme of arrangement proposed between the company and its shareholders. This court endorsement, lodged with the Australian Securities and Investments Commission on 14 October 2025, marks the scheme as legally effective, setting the stage for the next phase of the transaction.
Trading Suspension and Shareholder Impact
Following the court’s approval, trading in JLG shares on the Australian Securities Exchange was suspended from the close of trading on 14 October 2025. This suspension reflects the transition period as ownership transfers to Sherwood BidCo Pty Ltd, the acquiring entity. Shareholders holding JLG shares as of 7 – 00pm Sydney time on 16 October 2025; the record date; will be entitled to the scheme consideration.
Scheme Consideration Details
Under the terms of the scheme, shareholders will receive $4.00 in cash for each JLG share held, unless they are classified as Relevant Shareholders who have elected to receive scrip consideration. Those electing for scrip will be issued four shares in the acquiring company, Topco, for each JLG share surrendered, subject to rounding. The payment or share issuance is expected to be completed on 23 October 2025, finalising the acquisition process.
Broader Context and Market Implications
This acquisition represents a significant consolidation within the building and construction services sector, with Sherwood BidCo aiming to integrate Johns Lyng Group’s operations into its portfolio. For investors, the $4 per share cash consideration offers a clear exit value, while the scrip option provides a pathway to participate in the future prospects of the combined entity. The orderly suspension and clear timetable reduce uncertainty, though market participants will be watching closely for any further developments post-implementation.
Next Steps and Outlook
With the scheme now effective and trading suspended, the focus shifts to the final implementation steps and shareholder payments scheduled for late October. Analysts will be updating their models to reflect the change in ownership and assessing the strategic direction Sherwood BidCo intends to pursue. The coming weeks will be pivotal in shaping the post-acquisition narrative for Johns Lyng Group’s stakeholders.
Bottom Line?
As Johns Lyng Group transitions to new ownership, investors await the final scheme implementation and its impact on the construction sector landscape.
Questions in the middle?
- Will Sherwood BidCo pursue further acquisitions to expand its construction services footprint?
- How will the integration of Johns Lyng Group affect operational efficiencies and profitability?
- What are the long-term prospects for shareholders who opt for scrip consideration over cash?