Pan-Asian logistics group ESR has sold majority of its stake in Centuria Capital for around A$190m (€122m).
ESR first bought into the listed firm in 2017, when it acquired an initial parcel of 14.9% of Centuria shares. At the time, ESR was making its entry into the Australian market, and subsequently built up its stake in Centuria to 17.1%.
Phil Pearce, CEO of ESR Australia, the group’s Australian arm, told IPE Real Assets the parcel was sold to a diverse group of buyers.
ESR has held in escrow 4.9% of securities for two months, bringing its position to below “substantial” shareholding level at Centuria.
“It didn’t make sense for us to be invested in Centuria anymore,” Pearce said. “When we bought the stake, Centuria had a higher percentage of industrial and logistics assets under management.
“But over the past 18 months, Centuria has diversified its business into healthcare and agriculture, has bought a funds management business in New Zealand, and is now planning a merger with Primewest (a Perth-based funds manager).
“These are all good sectors to be in, but they are not the ones we invest in.”
Pearce said Centuria had been “a good investment”, and that ESR was happy with the outcome.
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