Australand Property Group has received a $2.59 billion takeover bid from Singapore-listed real estate company Frasers Centrepoint Limited, beating Stockland’s latest offer.
Frasers’ offer values the company’s shares at $4.48, above Stockland’s last bid of $4.35 a share, a deal which Australand’s board sees as a “superior outcome” for shareholders, and has entered into an exclusive consultation arrangement with the Singaporean firm.
“The board concluded that the conditional proposal would deliver a compelling outcome for Australand securityholders and is superior to the final and conditional proposal received from Stockland,” company chairman Paul Isherwood said.
The proposal includes a 21 per cent premium to Australand’s estimated net tangible assets per share at June 30 this year and is above the company’s close price on Tuesday which was $4.31 a share.
Stockland this morning said it would consider its options regarding Frasers’ conditional cash proposal.
Should Frasers’ due diligence process return a favourable outcome the deal will be subject to a foreign investment review board approval.
A short time ago Australand shares were trading up 6.26 per cent, above both offers, at $4.58 a share.
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