Waltus Merger Plan Supported By Key Brokers
Investors should vote ‘yes’ to the Waltus Investments proposal to merge 29 syndicates into one, according to three of the country’s top financial planning firms.
Brent King of Dorchester Pacific Ltd said he was sceptical of the proposal at the start, but having looked at it carefully he’s convinced it’s the best alternative.
“We’re practical investment advisors, and in the small single-property type syndicates it can be difficult for people if they urgently need to liquidate their investment unless the syndicate has special features,” Mr King said.
“One of the strongest features of the proposal is that the larger size should give greater liquidity to the benefit of investors.”
“On balance we believe people will get better results by voting yes, than if their syndicate stays out of the merger.”
Broadbase Group’s Marshall Garrett said that his firm had taken independent advice on the proposal and were satisfied it was in the best interests of investors.
“I’m pleased that Waltus have been proactive in seeking a solution in what is clearly a difficult phase of the property market cycle,” Mr Garrett said.
“We’re recommending that our clients vote for the merger, because we can see that it is the best option in the current market conditions,” said Kelvin Syms of Northplan.
“Sure, some people have had issues with some of the minor details, but what we’re saying is that those details aren’t important enough for people to vote against the merger.”