Generation’s unit-holders advised to accept NorthWest’s offer
The directors of APN Funds Management Limited (APNFM), a responsible entity (RE) of Generation Healthcare REIT, have unanimously recommended to Generation’s unit-holders to accept the all-cash, unconditional off-market takeover offer by NWH Australia Asset Co Pty Ltd as trustee for NHW Australia Asset Trust (NorthWest Australia).
NorthWest Australia, a controlled entity of a Canada-based specialist healthcare property investment group NorthWest Healthcare Property Real Investment Trust, announced in April its initial offer to acquire all ordinary units in Generation for $2.24 per unit.
However, the APNFM directors resolved that the initial offer had undervalued Generation units and, following negotiations with NorthWest Australia, the firm had agreed to increase its offer to $2.30 per Generation unit.
According to the directors of APNFM this represented full and fair value for Generation unit-holders and was consistent with the opinion of an independent expert, EY Transaction Advisory Services which also concluded that the offer was “fair and reasonable”.
As a consequence and in the absence of a superior proposal, the directors of APNFM, in a chairman’s letter announced today to the Australian Securities Exchange (ASX), recommended the Generation unit-holders to accept this offer.
The offer is due to close on 8 June, unless extended or withdrawn.
Recommended for you
In the latest Meet the Manager profile, Money Management speaks with Michael Skinner, founder and managing director at Blackwattle Investment Partners.
Perpetual has seen AUM rise 6 per cent in the last quarter but the departure of a longstanding JOHCM fund manager led to outflows of $2.2 billion from his strategy.
Global fixed income fund Bentham Global Opportunities has been added to several major platforms, enabling it to be accessed more easily by financial advisers.
Following yesterday’s news about First Sentier Investors closing four investment teams, a second global asset manager has announced it is closing its only dedicated Australian fund.