Wee Hur Holdings has announced the sale of its portfolio of seven purpose-built student accommodation (PBSA) assets to Greystar for A$1.6 billion ($1.4 billion) on Dec 16. The portfolio, which comprises of over 5,500 beds in various Australian cities, will be sold in a binding agreement.
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Greystar is set to acquire a 13% stake in the portfolio through Wee Hur (Australia), a subsidiary of Wee Hur. The net proceeds of approximately $320 million from the sale will be used for strategic growth initiatives, supporting reinvestment in core business, and expansion into new areas such as alternative investments.
The transaction is expected to be completed within the next six months, pending Foreign Investment Review Board (FIRB) approvals for Greystar and shareholder consent for Wee Hur. According to the group, this sale demonstrates the company’s resilience in navigating challenging market conditions, including those brought about by the Covid-19 pandemic and greenfield developments.
The sale also aligns with Wee Hur’s long-term strategy of diversifying its portfolio and positioning the group for sustainable growth across multiple sectors. Goh Wee Ping, CEO of Wee Hur Capital, stated that this transaction is a result of the group’s decisive actions in securing liquidity and certainty through its successful recap with RECO in 2021/2022. He also added that this sale will unlock maximum value for stakeholders.