June 26 (Reuters) - Link Administration Holdings Ltd LNK.AX
* Entered into binding agreement to acquire Capita Asset Services from Capita Plc (LON:CPI) for £888 million
* Acquisition to be funded via fully underwritten A$883 million, 4 for 11 pro rata accelerated renounceable entitlement offer with retail rights trading
* Balance of acquisition to be funded via combination of existing cash and available debt facilities, including new £485 million acquisition debt facility
* Forecasts operating ebitda of A$217 - A$219 million and operating npata of A$120 - A$123 million for fy17
* Acquisition has strong positive eps accretion on a pro forma fy17 basis before impact of efficiency benefits
* Acquisitiuon expects efficiency benefits of at least £15 million p.a to be fully delivered over medium term
* Excluding impact of the acquisition, link group remains on target to return group margins to 34% by 2020
* FY2017 final dividend is expected to bring the total dividend for the year to the upper end of the 40 - 60% of npata guidance
* "Dividend franking is expected to recommence through course of fy2018" Source text for Eikon: ID:nASXng3Y8 Further company coverage: LNK.AX