Ingenia Communities Group
(ASX:INA) has announced it will sell-down the majority of its Deferred Management Fee portfolio.
The Group will transfer five of its communities (which is worth 82% of its DMF portfolio value) into a new vehicle. Ingenia will be a joint owner in this new vehicle, along with real estate management firm, Forum Partners.
Ingenia says it will retain a minority stake and management rights. The Group also says its residual net equity stake in the new vehicle will be worth around $2.2 million.
The Group says this deal will immediately release $41 million in cash, which can be used to fund further growth in its lifestyle communities business.
Ingenia reported a net profit of $24.3 million at 30 June 2016.
