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The offer is due to close on 8 June, unless extended or withdrawn.
AUTHOR
Oksana Patron
Recommended for you
With active ETFs becoming the latest choice as fund managers target the retail audience, their high fees may be a detractor as research finds investors are shunning those priced any higher than 50 bps.
The possibility of a dissenting vote from shareholder L1 Capital has led Platinum Asset Management to scrap its conversion plan for the $450 million Platinum Capital LIC into an ETF.
Family office Lederer Group has made an off-market takeover bid for ASX-listed Elanor Commercial Property Fund, with chair Paul Lederer taking exception at the firm’s lack of accountability, oversight and transparency.
Janus Henderson is actively seeking to partner with private wealth firms in Australia as it looks to expand its number of strategic partnerships, as well as focus on retirement income product development.
