Centuria Capital and Augusta Capital Limited have entered into a Bid Implementation Agreement relating to an offer by Centuria to acquire Augusta Capital for NZ$180 million ($174 million), one of New Zealand’s largest listed real estate funds management platforms.
The acquisition is expected to up Centuria’s assets under management by $1.9 billion, or 26 per cent, to $9.2 billion.
Augusta Capital is one of New Zealand’s leading listed real estate funds management businesses managing NZ$2.0 billion (A$1.9 billion) in assets across a range of listed, unlisted and private funds.
Augusta shareholders will be offered NZ$2.00 per share (adjusted for distributions) in either cash or Centuria scrip via a “Mix and Match” facility.
Augusta shareholders holding 36.2% of Augusta (including the two founders/key executives) have entered into pre bid lock up agreements and have agreed to accept the offer.
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“The Centuria board has been considering a New Zealand platform acquisition for some time. Our engagement with the Augusta independent board committee, chaired by Augusta chairman Paul Duffy and the company’s management, has been professional and of a high calibre. In addition, the Augusta due diligence process has been greatly aided by the high quality of information provided, consistent with the business as a whole. The Centuria board unanimously supports the Takeover and is convinced of the strong compatibility between the two platforms,” said Garry Charny Centuria chairman.
