Last Thursday Stockland commenced selling its 14.3% stake in FKPs Aveo retirement business. Stockland netted approximately $13 million by selling just under 3% given its subscription agreement to sell no more than 3% in any one month. It received $1.50 per share. Stockland purchased its strategic holding in 2008/9 with the unfolding of the GFC, obtaining a first option to purchase the Aveo business from FKP, a strategy now abandoned by its recently appointed Group CEO. The shares were then trading at around $4.00. FKP has announced it is moving from being a diversified property group to a pure play in retirement and care operator with a name change to Aveo Group.
Exclusive: Aveo to sell off its retirement villages in South Australia and Tasmania
Tony Randello, CEO of the nation’s leading retirement village provider, said the impending sale of its 16 retirement villages in South Australia and Tasmania “aligns with Aveo’s regular strategic review of opportunities across its portfolio”. The...