AdvertisementWee Hur Holdings has announced it has entered a binding agreement to sell its portfolio of seven purpose-built student accommodation (PBSA) assets to Greystar. The PBSA portfolio, which consists of over 5,500 beds across different Australian city locations, has an agreed purchase price of approximately A$1.6 billion ($1.4 billion).The transaction is expected to be completed within six months, pending approvals from the Foreign Investment Review Board (FIRB) and Wee Hur’s shareholders. The group will retain a 13% stake through its subsidiary, Wee Hur (Australia).According to the group, the proceeds of the sale, estimated to be around $320 million, will be used to support Wee Hur’s strategic growth plans and reinvestment in its core business. It will also allow the group to explore new investment opportunities in areas such as alternative investments.Wee Hur believes the sale demonstrates its ability to navigate challenging market conditions, such as those posed by the Covid-19 pandemic and greenfield developments. This transaction also aligns with the group’s long-term strategy of diversifying its portfolio and positioning itself for sustainable growth in various sectors, according to Wee Hur.Goh Wee Ping, CEO of Wee Hur Capital, states: “In the face of global uncertainty in 2021/2022, we took decisive action to secure liquidity and certainty through our successful recapitalization with RECO. Two years later, as the PBSA market recovered and our portfolio approached full stabilization, we seized another opportunity to unlock maximum value for our stakeholders through this significant transaction.”
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