Singapore’s Frasers Centrepoint has received approval for its Australand Property Group bid from the Foreign Investment Board Approval, bringing it closer to full control of the local developer.
The $2.6 billion, $4.48 per security, off-market cash offer now hinges on shareholder acceptance and an independent expert’s tick, after receiving unanimous support from Australand’s directors in the absence of a superior bid. It will remain open until August 7.
Australand shares, which were priced around $4.31 before the Singaporean offer, have traded as high as $4.61 since the bid was lobbied on June 4, stymying an earlier rival offer from Stockland Property Group.
Frasers, which is seeking to use Australand to increase its overseas earnings and diversify operations away from Singapore and China, intends to hold Australand through its wholly owned investment subsidiary, Frasers Amethyst.