Wee Hur to divest PBSA portfolio for A$1.6 bil

The transaction also supports Wee Hur’s continued technique and recurring efforts to expand its profile and place the group for maintainable growth across multiple industries, includes Wee Hur.

Goh Wee Ping, CEO of Wee Hur Capital, claims: “In 2021/2022, amid global worry, we acted emphatically to safeguard liquidity and assurance with our successful recap with RECO. Two years afterwards, as the PBSA market recoiled and our portfolio came close to complete stabilisation, we capitalised on yet another opportunity to unlock optimum value for our stakeholders via this landmark agreement.”

The group claims the transactions reflects Wee Hur’s “strength in navigating complex market conditions”, involving the difficulties posed by Covid-19 and greenfield growths.

The transaction is set to be finished throughout the upcoming 6 months, subject to Greystar obtaining Foreign Investment Review Board (FIRB) confirmations and Wee Hur acquiring consent from its shareholders.

The group’s PBSA account, that covers over 5,500 beds over several Australian cities, has an acquisition consideration of A$ 1.6 billion ($ 1.4 billion).

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According to the group, the final earnings of about $320 million is assumed to go towards Wee Hur’s calculated development, maintain its reinvestment in core business, and expansion right into brand-new locations such as alternative investments.

Adhering to the deal, Wee Hur is set to keep a 13% stake via its subsidiary, Wee Hur (Australia).

Wee Hur Holdings has already joined a joining agreement to market its portfolio of seven purpose-built student accommodation (PBSA) assets to Greystar, according to a Dec 16 launch.