This article is from the Australian Property Journal archive
THE New Zealand Securities Exchange-listed Goodman Property Trust is looking to raise $NZ80 million to buy out its partners in the $NZ650 million Highbrook Business Park at Auckland.
Goodman NZ chairman Keith Smith said the proposed buyout from investment partners Goodman Group and Fisher Funds Management is an important acquisition for the trust.
“The scale and quality of Highbrook Business Park means that it is already a significant contributor to the trust’s financial performance. Full ownership and the progression of the development programme will ensure that Highbrook becomes one of the principal drivers of GMT’s investment returns,” he added.
Goodman NZ will buy the remaining interests in Highbrook Development Limited and Highbrook Business Park Limited, the joint venture entities that own the estate, from investment partners Goodman Group and Fisher for a total investment of $NZ186.6 million.
CEO John Dakin said with a current value in excess of $NZ650 million, Highbrook Business Park is nation’s development showpiece.
“This is a strategic investment opportunity that is expected to provide immediate and longer term benefits to the trust as its full development potential is realised,” he said.
The deal will boost GMT’s market capitalisation to $NZ1.3 billion.
The deal will also see both Goodman Group and Fisher reinvesting back into GMT as major shareholders in the trust. The issue price of $NZ1.015625 represents a 4.4% discount to the volume weighted average price over the five preceding trading days.
Meanwhile GMT delivered a profit after tax of $NZ31.6 million for the six months ended 30 September 2012, a $NZ2.5 million or 9% increase from the previous corresponding period.
Property Review
