Stonepeak is acquiring New Zealand retirement and assisted-living provider Arvida Group for US$1.25bn (€1.14bn), including the assumption of debt.
The real assets investment firm is taking Arvida private by offering the NZX-listed company’s shareholders US$1.03 for each share they hold, a price that represents a 65% premium on the shares’ last closing price.
Arvida, formed in 2014, is now the fourth-largest operator of retirement villages in the country with 35 villages throughout New Zealand.
Darren Keogh, senior managing director at Stonepeak, said: “The quality of care and range of services Arvida provides through its retirement villages are increasingly essential as New Zealand’s ageing population continues to grow in the coming years.
“Arvida has earned a top reputation amongst peers in the region, and we believe – with its established portfolio, attractive development pipeline, and long-term demand tailwinds – that Arvida represents a compelling investment opportunity for our Asia infrastructure strategy.”
Anthony Beverley, chair of the board at Arvida, said: “As a private entity under Stonepeak’s ownership, Arvida would be able to further strengthen the execution of the company’s multi-faceted strategy – to sustain and enhance Arvida’s core business; to develop quality communities; to acquire complementary properties; and to deliver quality services to ageing communities.
“We believe Stonepeak has a sound understanding of Arvida and the New Zealand retirement-village market, and Stonepeak’s strategy is aligned with Arvida’s values and vision. Stonepeak intends to bring significant capital and operational expertise to support Arvida’s senior management team and business plan.”
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