AU grants due diligence access to Abacus and Charter Hall
Australian Unity Investment Real Estate (AUIREL), a responsible entity (RE) of the Australian Unity Office Fund (AOF), has decided to engage further with the consortium of an entity associated with Abacus Property Group (ABP) and Charter Hall Group (CHC) which submitted a non-binding proposal to acquire all of the issued units in AOF.
Further to that, AUIREL set up the independent board committee to consider the proposal which decide to provide the consortium with due diligence access on a non-exclusive basis which would run for a period of up to four weeks from today, it said.
Under the proposal, the consortium would acquire the remaining units in AOF, which it did not already hold, for $3.04 cash per unit.
According to Australian Unity, the proposal offered an opportunity for AOF unitholders to receive certain cash proceeds for their investment, with unitholders who supported the initial public offering (IPO) of AOF in June recognising:
- 52 per cent premium to the IPO price
- 75 per cent total unitholder return, and
- 20 per cent internal rate of return
AUIREL would be advised by UBS AG, Australian Branch as financial adviser and Ashurst as legal adviser.
AUTHOR
Oksana Patron
Recommended for you
Some 42 per cent of CEOs say they are actively reinventing their business to stay relevant in the next decade, with consumer services the most common choice for asset and wealth managers.
Former Ophir Asset Management chief executive, George Chirakis, has joined private equity manager Scarcity Partners, while the asset manager has appointed a replacement from Macquarie.
Australian Unity has appointed a fund manager for its Healthcare Property Trust, joining from Centuria Healthcare, as it restructures the product with a series of senior appointments.
Financial advisers nervous about the liquidity of private markets funds for their retail clients are the target of fund managers launching semi-liquid products which offer greater flexibility and redemptions.
