HomeCo Daily Needs REIT and Aventus Property Group have agreed to a merger that will see HomeCo acquire all of Aventus’ securities via schemes of arrangement.
Aventus security holders will receive 2.2 HomeCo Daily Needs REIT units for every unit in the Aventus Retail Property Fund, or 28.5¢ cash or 0.038 HMC securities for every 1 share in Aventus Holdings.
Both boards unanimously support the merger, which will have a combined portfolio of $4.1 billion and a market capitalisation of $3.2 billion.
“We believe the merger is strategically and financially attractive for both HomeCo and AVN and consistent with HomeCo’s objective to deliver stable and growing distributions,” said HomeCo Daily Needs REIT chair, Simon Shakesheff.
“The increased scale and enhanced capability will allow the merged group to unlock significant value that would not have been accessible on a standalone basis.”
Aventus chairman Bruce Carter said the merger was attractive to Aventus security holders.