This article is from the Australian Property Journal archive
AUSTRALIAN private equity firm Archer Capital has honed in on Lend Lease's aged care business, buying it for $270 million.
Archer Capital’s Australian Aged Care Partners has bought the business, which owns and manages 30 aged care facilities across Australia with 2,338 beds under management and a development pipeline of 563 beds.
Lend Lease will receive cash proceeds of A$200 million in addition to a promissory note of A$70 million. The transaction is expected to be complete by the end of March 2013.
Lend Lease CEO Steve McCann said that the sale was in line with the group’s strategy of capital recycling and divesting of non-core businesses.
“The aged care business is more closely aligned to healthcare services than property and is therefore considered non-core for Lend Lease. It employs high quality, passionate and caring people who remain committed to delivering a high level of care under their new ownership. Lend Lease will continue to be a leading manager and owner of retirement villages in Australia,” he added.
The aged care business was acquired as part of the Primelife acquisition in 2009.
Property Review
