Australian retirement communities manager Aveo Group has accepted a A$1.27bn (€771m) takeover offer from Brookfield Property Group.

Last month, Aveo confirmed that it had selected Brookfield as its “preferred party” in takeover talks following media speculation.

At the time, Aveo said it continued to negotiate with the Brookfield in respect of “its indicative proposal, with a view to entering into definitive agreements leading to a scheme of arrangement”.

Aveo said today that it has unanimously concluded the Brookfield transaction is in the best interests of its security-holders.

By way of a scheme of arrangement, the Canadian investor will offer cash or scrip to buy outstanding Aveo securities at A$2.195 per security.

The cash consideration represents a 28% premium to Aveo’s last closing security price in mid-February, before it updated the market that it had received a number of bids for its business.

Aveo runs some 90 villages, housing more than 13,000 residents, across Australia.