By Chris Hutching
Friday 18th July 2003
|Text too small?|
The bid is "friendly" because AMP directors realise the price is better that they might have expected in a less heated market.
According to a New Zealand analyst reviewing events over the Tasman, Australia's compulsory superan-
nuation regime means that fund managers are searching for opportunities to invest client moneys and are making bids that may not be underpinned by earnings. With other equities out of favour the Australian market thirst for property has been described by some market watchers as "frenzied."
Macquarie told the Australian Stock Exchange it would proceed to a full takeover bid, offering other investors A5c cash and 0.811 of a Macquarie Goodman unit for every AMP Industrial unit, which at recent prices is about $A1.28 per unit a 23% premium to net asset backing, and 6% above the trust's weighted average price in recent months.
Macquarie Goodman has also agreed to buy the property and asset management business from AMP Henderson Global Investors for $A17.5 million.
The enlarged trust will be Australia's eighth-largest listed property trust, with market capitalisation of more than $A2 billion.
An independent appraisal report by Deloitte Corporate Finance will be sent to unit holders on July 25.
No comments yet
Mild weather saps Vector's June-qtr volumes
NZ dollar gains as dovish Fed comments point to 50-bps US cut
19th July 2019 Morning Report
RBNZ says no change in approach on Resolution Life's AMP purchase
MARKET CLOSE: NZX50 hits record as yield stocks remain in vogue
NZ dollar mixed after strong Australian employment data
Energy efficiency key to lowering cost of renewables push - EECA
Paper recycling costs rising 35% as export markets collapse
First Union leading rivals for biggest average pay claims, says bargaining firm
Fonterra to go coal-free 11 years ahead of schedule