The Commonwealth Bank has announced it is selling a 55% stake in Colonial First State (CFS) to investment house, KKR.
The CBA announced to the Australian Securities Exchange (ASX) today that the transaction implied a total valuation for CFS of $3.3 billion which would result in the bank receiving cash proceeds of around $1.7 billion.
The announcement said that the transaction was consistent with the bank’s strategy of focusing on its core business.
It said that together, CBA and KKR intended to undertake a significant investment program strengthening CFS’s position as a leading superannuation and investment business.
Comments
This is unbelievable. I wonder how much of "Australia " is owned by foreigners, foreign Investors & foreign countries.
Under 10% of everything (inc property, shares & agriculture) in Oz is owned by overseas investors.
USA is the top investor, China is 9th on the list according to DFAT.
By the way, we now own a big chunk of investments overseas - thanks to the growth of superannuation.
KKR has a reputation for slashing and burning, not undertaking a "significant investment program".
They would do well to announce some specific plans quickly, otherwise advisers and clients will be heading for the doors.
So 55% owned by KKR and the other 45% still owned by the KKK, oops I mean CBA.
Add new comment