Wee Hur to divest PBSA portfolio for A$1.6 bil
Goh Wee Ping, CEO of Wee Hur Capital, says: “In 2021/2022, amid global uncertainty, we acted emphatically to safeguard liquidity and assurance via our effective recap with RECO. Two years afterwards, as the PBSA market recoiled and our portfolio approached full stabilisation, we capitalised on yet an additional possibility to unlock maximum value for our stakeholders through this landmark proceeding.”
Wee Hur Holdings has become part of a joining contract to offer its portfolio of 7 purpose-built student accommodation (PBSA) properties to Greystar, according to a Dec 16 release.
The transactions is readied to be finished within the upcoming 6 months, subject to Greystar obtaining Foreign Investment Review Board (FIRB) approvals and Wee Hur obtaining green light from its investors.
The deal even supports Wee Hur’s long-term approach and recurring initiatives to diversify its accounts and position the team for lasting growth throughout several industries, includes Wee Hur.
Following the purchase, Wee Hur is readied to keep a 13% stake through its subsidiary, Wee Hur (Australia).
The team’s PBSA account, that covers over 5,500 beds over a number of Australian towns, has an acquisition consideration of A$ 1.6 billion ($ 1.4 billion).
According to the group, the net proceeds of approximately $320 million is anticipated to go towards Wee Hur’s calculated growth, sustain its reinvestment in core business, and expansion right into brand-new areas such as another assets.
The group says the transactions reflects Wee Hur’s “durability in browsing intricate market issues”, including the difficulties posed by Covid-19 and greenfield growths.
