Treat! Aus Unity Office fund talks fall apart
It remains to be seen whether AOF can revive the mooted deal, which came after attempting a handful of other corporate deals and hiring bankers and real estate agents to consider ways to maximize value for investors.
His options included selling the vehicle, disposing of some or all of the assets, or attempting to renovate his sites and continue to own them. Highbury and King partnership & Wood Mallesons advised AOF.
Aliro stalled its $2.45 security proposal in May and has spent the past several weeks negotiating with Hume for a revised proposal.
AOF securities last traded at $2.21. The listed fund owns nine properties, including office buildings in western Sydney, Adelaide, Brisbane, Melbourne and Canberra, and its portfolio was valued at $606 million at the end of December.
The Unity-managed Australian fund has weathered a tough few years after a $495 million takeover bid, jointly offered by Charter and Abacus and backed by the board, was scuttled by investors.
More recently, the fund manager had advanced on a plan to merge the office fund with an unlisted commercial property fund, also managed by Australian Unity, creating a $1.1 billion portfolio, before that proposal was also torpedoed by investors.