Australia's Ingenia Communities opens books to Warburg Pincus after rejecting two prior bids

By Reuters News

Oct 5 (Reuters) - Australian property developer Ingenia Communities Group INA.AX on Monday granted Warburg Pincus initial due diligence access on a non-exclusive basis after the US private equity firm raised its takeover offer for a third time.


Here are more details:

  • The latest proposal, announced last week, values Ingenia at about A$2.14 billion ($1.49 billion). The A$5.25-a-share offer is nearly 4% higher than Warburg Pincus' previous A$5.05 offer, which Ingenia rejected as substantially undervaluing the company.

  • The due diligence access will allow Warburg Pincus to develop its revised indicative proposal into an offer.

  • In late August, Ingenia reached a A$992.5 million deal to buy residential property developer Peet PPC.AX. Ingenia said on Monday it would not halt that effort despite Warburg's offer condition that Ingenia not pursue Peet.

  • Ingenia's board is assessing which deal would be better for shareholders and whether the Warburg proposal would qualify as superior as defined in the terms of the Peet agreement.

  • Shares of Ingenia Communities were up 1.9% at A$4.870 in early trade.


($1 = 1.4386 Australian dollars)

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