Centuria (ASX:CNI) declares merger with Primewest unconditional

Company News

by Michael Luu

Property powerhouse Centuria Capital Group (ASX:CNI) is set to enter into a merger agreement with real estate manager Primewest (ASX:PWG).

The proposed integration of the two major property fund managers promises to form one of the largest ASX-listed real estate investment firms, combining assets under management worth up to $16 billion.

Centuria has declared its takeover offer unconditional, following consent from Primewest to waive the minimum acceptance condition.

The bidder secured 76 per cent support for the transaction from Primewest security holders, including unanimous approval by founding members of the company.

Founding owners of the 53 per cent stake in the $581 million have given the green light to the merger proposal, encouraging shareholders to follow suit.

The cash and scrip offer includes a cash consideration of 20 cents and an additional 0.473 Centuria share for each security held in Primewest. The transaction will incur an issuance of 143 million new Centuria shares

Eligible Primewest shareholders will receive the entitlements within 5 working days from the date of acceptance.

Shares in Centuria (ASX:CNI) are trading 2.6 per cent lower at $2.68