Reliance Worldwide Corporation Limited has entered into an exclusive process deed with Brookfield Capital Partners LLC following the investment firm’s unsolicited proposal to acquire 100 percent of the company at A$4.75 per share. The move comes after Brookfield submitted multiple indicative offers over recent months, with prices progressively escalating from A$4.15 in April through A$4.25 and A$4.50 in May and early August respectively.
The A$4.75 offer price represents a substantial premium to RWC’s recent trading levels. The company’s last closing price of A$3.61 on 17 August translates to a 31.6 percent uplift, while the cash offer sits 32.8 percent above the three-month volume weighted average price of A$3.58 and 43.2 percent above the six-month average of A$3.32. The implied enterprise value of approximately A$4.1 billion values the business at 12.1 times FY26 adjusted EBITDA on a post-AASB16 basis, or 12.9 times pre-AASB16, positioning the valuation in line with comparable infrastructure and distribution assets.
RWC has committed to an exclusive engagement period running from 17 August through 15 September 2026, during which the company has agreed to work in good faith with Brookfield toward a Scheme Implementation Deed. The exclusivity arrangement includes non-solicit and no-talk obligations with no fiduciary exception for the board, effectively preventing RWC from shopping the business during this four-week window. Progression toward a binding agreement remains contingent on satisfactory confirmatory due diligence from Brookfield, board approval from both parties, and final investment committee sign-off from Brookfield on transaction terms.
The inclusion of a 30-day go-shop provision after any SID execution provides meaningful optionality for shareholders seeking to maximize value. Under this provision, RWC will retain the right to actively solicit third-party interest and conduct due diligence discussions with alternative buyers in the month following the binding agreement. This creates a defined window for competing proposals should other bidders wish to participate, representing a balance between Brookfield’s need for deal certainty and shareholders’ interests in value realization.
Several factors merit investor attention in the weeks ahead. The robustness of Brookfield’s offer will be tested through confirmatory due diligence and any subsequent negotiations over transaction terms. The go-shop period will prove particularly important, signaling whether alternative buyers view RWC as undervalued or whether Brookfield has secured the asset on attractive terms. Balance sheet management and capital structure optimization during the transaction process should also be monitored as key considerations for eventual scheme implementation. This announcement is price sensitive and has been classified as material by the ASX.
View the full ASX announcement (PDF)
About Reliance Worldwide Corporation Limited (ASX: RWC)
Reliance Worldwide Corporation Limited designs and manufactures branded plumbing and heating products for global markets, specializing in water flow, control, and monitoring solutions. The company produces brass fittings, push-to-connect fitting systems, pipes, tubing, and plumbing valves sold under brands including JG Speedfit, HoldRite, and SharkBite. It operates manufacturing and distribution facilities across North America, Europe, and Asia-Pacific regions.
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