The Thai-controlled Singapore property group, Frasers Centrepoint will extend its $4.80 a share cash off for Australand (ALZ) by another 14 days to allow it to mop up the minorities after grabbing more than 56% with its offer by the deadline of 7pm last night.
Frasers said the offer would now close on August 21, unless further extended after it received acceptances totalling 56.0% of Australand’s issued securities.
That means sometime in the next six weeks, Australand will end its days as a listed entity, after 17 years on the ASX.
Yesterday saw Frasers issue three updates as it built its holding via direct acceptances, and shares lodged with a special fund (for big investors to accept without actually doing so formally in case of a higher offer).
Frasers issued an update at 2.30pm, declaring it held 46% and another as at 5 pm, and a final one at 7 pm where the acceptance level crossed the 50% threshold, making the bid unconditional.
Australand directors said last night they will declare the interim distribution of 2.63 cents per security on Monday, August 11. That will make the a total of $4.5063 per Australand security.
Shareholders who have validly accepted the offer will be paid by August 28.
Market analysts said they expected rival bidder Stockland to accept for its 19.9%. There was no statement from the property group to the ASX last night.
ALZ vs SGP 1Y – Australand set to delist, head to Singapore
Australand’s shares closed the day at $4.48, indicating the company’s hedge funds had decided to accept the bid.
Stockland’s shareholding is worth about $90 million profit. Hopefully we will find out today if the company has sold.
