Wee Hur to divest PBSA portfolio for A$1.6 bil

Wee Hur Holdings has recently become part of a joining contract to market its accounts of seven purpose-built student accommodation (PBSA) assets to Greystar, according to a Dec 16 release.

Goh Wee Ping, Chief Executive Officer of Wee Hur Capital, states: “In 2021/2022, amidst international worry, we acted emphatically to secure liquidity and certainty through our effective wrap-up with RECO. 2 years later, as the PBSA market rebounded and our portfolio approached complete stabilisation, we capitalised on yet an additional chance to unlock optimum value for our stakeholders with this landmark sale.”

According to the group, the final proceeds of about $320 million is anticipated to go towards Wee Hur’s calculated development, sustain its reinvestment in core business, and expansion right into new areas such as different investments.

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

The purchase additionally supports Wee Hur’s continued method and ongoing efforts to expand its accounts and position the group for sustainable development across multiple markets, includes Wee Hur.

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

The transaction is set to be finished within the coming 6 months, based on Greystar obtaining Foreign Investment Review Board (FIRB) confirmations and Wee Hur getting consent from its shareholders.

The group states the transaction shows Wee Hur’s “strength in navigating intricate industry issues”, including the obstacles posed by Covid-19 and greenfield developments.