Australian property manager ISPT has agreed on the terms of a merger with global fund manager IFM Investors to create a A$240bn (€145.6bn) asset manager.
A year after they began negotiation on a possible tie-up, the two parties said they were seeking shareholders’ approval for a merger.
The two entities said: “The ISPT Board has notified IFM Investors that it has elected to support a binding offer made to ISPT and their unit holders. The offer will be put to unitholders and shareholders of ISPT for a vote in the coming months.”
Industry super funds-owned ISPT has assets under management totalling around A$20bn in office, retail, industrial, education, health and residential properties. It is also a developer in its own rights. Its focus is domestic market although it made a stalled attempt to go global in an early iteration of partnership with IFM Investors.
IFM Investors, which is owned by 17 of the country’s largest super funds – and has some common shareholders with ISPT – does not have a real estate investment arm. IFM now manages A$218.3bn in infrastructure, equities, debts and private equity in key markets around the world.
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