Wee Hur to divest PBSA portfolio for A$1.6 bil
Goh Wee Ping, Chief Executive Officer of Wee Hur Capital, states: “In 2021/2022, in the middle of worldwide unpredictability, we acted emphatically to secure liquidity and certainty via our successful wrap-up with RECO. 2 years afterwards, as the PBSA market recoiled and our profile came close to complete stabilisation, we capitalised on yet an additional opportunity to unlock maximum worth for our stakeholders with this landmark transaction.”
The proceeding is set to be completed throughout the upcoming 6 months, subject to Greystar acquiring Foreign Investment Review Board (FIRB) permissions and Wee Hur getting consent from its shareholders.
Wee Hur Holdings has already become part of a binding arrangement to offer its portfolio of seven purpose-built student accommodation (PBSA) investments to Greystar, according to a Dec 16 launch.
The group’s PBSA account, which extends over 5,500 bedrooms over numerous Australian towns, has an acquisition consideration of A$ 1.6 billion ($ 1.4 billion).
According to the group, the final proceeds of around $320 million is assumed to go in the direction of Wee Hur’s calculated development, support its reinvestment in core business, and expansion right into brand-new areas such as another investments.
The transaction also supports Wee Hur’s long-term method and ongoing efforts to diversify its profile and position the group for sustainable growth across multiple sectors, includes Wee Hur.
The group claims the transaction shows Wee Hur’s “durability in navigating complicated market conditions”, involving the difficulties posed by Covid-19 and greenfield developments.
Following the transaction, Wee Hur is set to retain a 13% involvement via its subsidiary, Wee Hur (Australia).
