Australian land lease community operator Ingenia Communities has received a A$3.2bn (€2bn) takeover proposal from AVID Property, backed by Abu Dhabi sovereign wealth fund Mubadala Investment Company and global asset manager Brookfield.
Following the A$5.40 per share cash offer, which includes a pending dividend, Ingenia has granted AVID a six-week period of “soft exclusivity” to conduct due diligence.
ASX-listed Ingenia has also terminated data room access for US private equity firm Warburg Pincus. Warburg Pincus had submitted a revised A$5.35 per share offer last week, following an initial undisclosed approach at A$4.75 per share in early September.
Like the Warburg Pincus proposal, AVID’s offer is conditional on Ingenia terminating its scheme implementation agreement with Western Australian property group Peet, which Ingenia had agreed to acquire to expand its landbank inventory.
Anthony Demiris, AVID CEO, Anthony Demiris, said: “AVID has a strong track record of developing and operating residential and community developments, including through our Vantage land lease community’s platform.
“With backing from our investment partners, we believe this proposal delivers compelling value for Ingenia securityholders and a quality future for the business. We look forward to engaging constructively with the Ingenia Board,” said Demiris.
AVID, which is owned by Proprium Capital Partners, previously acquired and delisted established Australian residential developer AV Jennings in a A$365m transaction.
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