Ashurst is acting as the legal adviser to the Victorian Government in the A$2.077 billion sale of its 29% share in Snowy Hydro Limited (Snowy Hydro or The Company) to the Commonwealth Government (the Commonwealth).

The New South Wales Government will also sell its 58% share in The Company to the Commonwealth for A$4.154 billion. Following the completion, the Commonwealth will wholly own Snowy Hydro, increasing from its current 13% ownership.

The sale proceeds must be spent by the Victorian and New South Wales governments on 'productive infrastructure', but there will be no conditions placed on the specific projects to be funded by the proceeds.

The Commonwealth has provided assurances that conditions for those employed by Snowy Hydro will not materially change, with no forced redundancies for two years for Victorian-based operations.

Co-lead partner Shane Kyriakou (Corporate) commented: "We are delighted to have assisted the Victorian Government in reaching an agreement with the Commonwealth and New South Wales on this historic transaction."

The team was led by partners Shane Kyriakou and Kylie Lane (Corporate), and included partner Nick Terry, senior associates Brooke Coghlan and Chris Harris, and lawyers Ryan Kabat and Rachel Lapinskas (Corporate); and partner Jeff Lynn and senior associate Sophie Osborn (Resources & Utilities).

The deal is subject to the approval of both houses of the Victorian Parliament.