Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

AMP Property Portfolio announces takeover offer


15 September 2005

AMP Property Portfolio announces takeover offer for Capital Properties New Zealand

AMP Property Portfolio (APP) today announced that it intends to make a full takeover offer (Offer) for all the ordinary shares in Capital Properties New Zealand (CNZ). The Offer will be $1.42 cash per share.

The Offer of $1.42 is generous and represents a very full price for CNZ. It is at a substantial premium to comparable benchmarks, and is:
-ƒn4% higher than the highest price at which CNZ shares have ever traded on the NZSX ($1.36)
-ƒn8% higher than the NZSX closing price before the Offer was announced ($1.31)
-ƒn10% higher than CNZ¡¦s net tangible assets at last balance date of 31 March 2005 ($1.29)
-ƒn24% higher than the average valuation of CNZ by four independent analysts
-ƒn39% higher than the CNZ price on the NZSX in November 2004, before the corporate activity for CNZ shares began ($1.02). The Offer is principally subject to APP holding 50 percent or more of CNZ¡¦s voting rights (APP currently has a 15.7% stake in CNZ) and obtaining OIO consent on usual terms.

The acceptance level is set at the minimum required by the Takeovers Code. The Offer is scheduled to be open for only 30 days, opening on 30 September 2005 and closing on 31 October 2005. CNZ is listed on the New Zealand Stock Exchange and is an investor in commercial property.

Its portfolio comprises properties in Wellington (60%), Auckland (32%) and New Plymouth (8%) valued at $536.6 million at 31 March 2005. ¡§The intended offer for CNZ shares is consistent with our strategy of investing in quality New Zealand properties,¡¨ said Stephen Costley, General Manager, APP.

CNZ¡¦s portfolio is primarily occupied by government and private sector tenants, and includes a range of properties such as Bowen House, Novell House and Lambton Square in Wellington. ¡§CNZ¡¦s portfolio of properties is complementary to APP¡¦s own portfolio, and its weighting towards the Wellington region is also a positive feature for APP. ¡§Increasing our holding in CNZ 2 will diversify our geographical spread, and increase our investment in this market,¡¨ said Mr Costley.

Catherine Savage, Managing Director of AMP Capital Investors (NZ), said the offer is consistent with AMP Capital's strategy of seeking new investment opportunities. ¡§APP is New Zealand's largest unlisted property vehicle and invests in office, retail and industrial assets.

This announcement is an exciting development for our business and demonstrates our commitment to seeking new investment opportunities on behalf of our clients,¡¨ said Ms Savage. APP¡¦s offer will not extend to CNZ¡¦s outstanding Capital Notes. These will remain outstanding under their existing terms and conditions.

ENDS

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Smelter: Tiwai Deal Gives Time For Managed Transition

Today’s deal between Meridian and Rio Tinto for the Tiwai smelter to remain open another four years provides time for a managed transition for Southland. “The deal provides welcome certainty to the Southland community by protecting jobs and incomes as the region plans for the future. The Government is committed to working on a managed transition with the local community,” Grant Robertson said. More>>

ALSO:

Economy: Strong Job Ad Performance In Quarter Four

SEEK Quarterly Employment Report data shows a positive q/q performance with a 19% national growth in jobs advertised during Q4 2020, which includes October, November and December. Comparing quarter 4, 2020, with the same quarter in 2019 shows that job ad volumes are 7% lower...More>>

NIWA: 2020 - NZ’s 7th-warmest Year On Record

The nationwide average temperature for 2020, calculated using stations in NIWA’s seven-station temperature series which began in 1909, was 13.24°C (0.63°C above the 1981–2010 annual average). New Zealand’s hottest year on record remains 2016, when... More>>

Quotable Value New Zealand: Property Market Set To Cool From Sizzling To Warm In 2021

Nostradamus himself could not have predicted the strange series of events that befell our world in 2020 – nor the wild trajectory of New Zealand’s property market, which has gone from “doom and gloom” to “boom and Zoom” in record time. Even ... More>>

PriceSpy: Research Reveals How Shopping Behaviours Have Changed This Christmas

According to a new survey* from PriceSpy , almost 50 per cent of Kiwis are looking to shop locally this Christmas in light of Covid-19; The research also found consumers are changing their shopping habits, with one in seven (14 per cent) getting super-organised ... More>>

Commerce Commission: Noel Leeming Group Warned For Making Delivery Representations Without Reasonable Grounds During COVID-19 Lockdown

Noel Leeming Group has been warned by the Commerce Commission for making delivery representations about two products which, in the Commission’s view, it did not have reasonable grounds for at the time the representations were made. The warning ... More>>