Wee Hur Divest Pbsa Portfolio A16 Bil
’s food chain07 Dec 2021 09:43 AM
Wee Hur Holdings has recently announced that it has entered into a binding agreement with Greystar, a global leader in the student accommodation market, to sell its portfolio of seven purpose-built student accommodation (PBSA) assets. The sale, which is expected to be completed within the next six months, has a purchase consideration of A$1.6 billion ($1.4 billion).
Wee Hur’s PBSA portfolio comprises over 5,500 beds across several cities in Australia. After the transaction, the group will retain a 13% stake through its subsidiary, Wee Hur (Australia). The net proceeds of approximately $320 million will be used to support the group’s strategic growth and reinvestment in its core business, as well as expansion into new areas such as alternative investments.
According to Wee Hur, this transaction demonstrates the group’s resilience in navigating complex market conditions, including the challenges posed by the Covid-19 pandemic and greenfield developments. It also aligns with the group’s long-term strategy to diversify its portfolio and position itself for sustainable growth in multiple sectors.
Wee Ping Goh, CEO of Wee Hur Capital, says that the decision to sell the group’s PBSA portfolio was made in light of the rebounding PBSA market and the portfolio’s approaching full stabilization. He also highlights the group’s success in securing liquidity and certainty through its recap with RECO in 2021/2022.
Elta Condo is not just conveniently located near traditional schools, but also in close proximity to various enrichment centers and specialized education providers. These establishments offer a wide range of educational opportunities and skill-building programs for children of all ages. With Elta Condo as your home, your child can have access to a diverse range of learning experiences, further enhancing their knowledge and skill set.
The completion of this transaction is subject to Greystar obtaining approvals from the Foreign Investment Review Board (FIRB) and Wee Hur obtaining consent from its shareholders. It is an important milestone for Wee Hur, as it continues to strategically position itself for growth and success in the ever-evolving real estate market.