David Di Pilla’s Home Consortium’s Healthcare and Wellness REIT 2021’s second biggest IPO

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Is the ASX-listing of Home Consortium’s Healthcare and Wellness REIT (HCW) going to shake up the aged care sector?

Only time will tell, but Managing Director and Aurrum Aged Care Chairman David Di Pilla had amassed a healthcare portfolio of almost $500 million before HCW was listed on the ASX on Monday.

HCW’s share price increased 16%, as investors wanted a slice of the country’s first healthcare property trust. It was the second biggest IPO of the year (behind the float of e-conveyancing platform Pexa on 1 July). HCW shares ended it first day of trading at $2.32 – it was trading at $2.30 yesterday lunchtime.

Investors clearly liked HCW’s $555 million portfolio of private hospitals, medical hubs, aged care facilities, childcare centres and life science facilities leased to the likes of GenesisCare, the Commonwealth Government and Acurio Health Group.

After ringing the bell (via Zoom) to commence trading in HCW shares, Di Pilla said it was the biggest real estate float since Charter Hall’s Long WALE REIT, which raised $827 million before it floated in 2016.

The successful listing makes it Di Pilla’s third float after Home Consortium was listed in October 2019 and HomeCo Daily Needs REIT in November last year. The MD has $2.5 billion of assets across three listed vehicles.