AVID Property Group, backed by a global sovereign wealth fund and a global financial sponsor, has displaced Warburg Pincus as the frontrunner to acquire Ingenia after tabling a higher cash proposal.
Under the proposal, Ingenia would be allowed to pay a distribution of up to A$0.05 ($0.04) for the half year to 31 December 2026 without that amount being deducted from the price, taking the total value to up to A$5.40 ($3.79). Reuters calculated that the approach values Ingenia at about A$2.2bn ($1.5bn).
The ASX-listed group, which runs 96 communities and development sites, has a market capitalisation of about A$1.7bn ($1.2bn). The gap between that figure and the proposed valuation underlines the premium AVID is offering shareholders.
Ingenia's board has granted AVID up to six weeks of "soft" exclusivity under a process deed signed on 26 October, three days after the unsolicited proposal arrived. As a direct result, Ingenia has cut off Warburg Pincus' access to its data room, effectively sidelining the firm from further due diligence while AVID advances its bid.
Source: PE Insights · Summarized by HeadlinesBriefing