KKR has offered A$3.1bn (€1.9bn) to take over Property Exchange Australia (PEXA), Australia’s leading electronic conveyancing group, from its owners, including financial services group Link Administration.
Link confirmed that it had received an offer from KKR for and on behalf of funds under its management for its 44.18% stake in PEXA.
Link and Morgan Stanley Infrastructure Partners co-own PEXA, along with Australia’s Commonwealth Bank, which has a smaller stake of around 13%. The existing consortium acquired PEXA in 2018 for A$1.6bn.
KKR has set this weekend as the deadline for its cash offer. Media reports suggest Canada’s Dye & Durham is planning a counterbid for PEXA.
The PEXA partners had been planning to list PEXA on the Australian Securities Exchange before receiving the KKR offer.
Link said the KKR proposal had been received in advance of the proposed timing on the trade sale process, and that KKR had informed the company that Domain, a listed real estate listing company, was expected to be its partner in the deal.
“The Link Group board is considering the proposal, including obtaining advice from its financial and legal advisors,” the company said.
It added that, as no decision had been made, both the trade sale process and exploration of the viability of an IPO continued to proceed.
Link had earlier received a A$290m buyout proposal for the entire business from Pacific Equity Partners and The Carlyle Group.
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