Healthcare Property Trust announces plans to support Northwest to divest units
Following the settlement of the litigation commenced by Northwest against Australian Unity Funds Management Limited (AUFM), Australian Unity’s $3.9 billion Healthcare Property Trust (the Trust) will introduce a series of initiatives to assist Northwest and its affiliates (Northwest), to divest units in the Trust.
AUFM is working in good faith to assist Northwest and its affiliates to divest their units by 31 December 2023.
The initiatives include:
- Australian Unity acquiring $50 million of Northwest’s holdings in the Trust
- An increase to the Trust’s August withdrawal facility, from 2.5 per cent to 5 per cent of the value of the Trust’s retail and wholesale units (at 28 August 2023)
- New and existing investors in the Trust will have an opportunity to acquire $100 million (or more) of Northwest’s holdings in the Trust
- Seeking to identify one or more existing or new institutional investors aligned to the values of the Trust, and committed to the long-term support of the Trust, to take a portion of Northwest’s holding
- An increase of the November withdrawal facility up to at least 3 per cent of the value of the Trust’s retail and wholesale units
Chris Smith, General Manager, Healthcare Property, Australian Unity, said the Trust is well-placed to continue to deliver on its objective of providing consistent and sustainable income returns, together with long-term capital growth.
“Our overriding focus continues to be managing the Trust in the best interests of investors. These initiatives will not only assist Northwest to divest its units in the Healthcare Property Trust—but will also support the Trust to deliver on its strong future growth prospects.”
“Healthcare property—in this point of the cycle—is uniquely advantaged. Demand for the services provided in hospitals, medical centres, and aged care facilities are not affected by economic drivers like other commercial property sectors such as office or retail”, he said.
During FY23, the Trust grew assets under management from $3.3 billion to $3.9 billion with key highlights including the opening of the new 51-bed private hospital in Sunshine, Victoria, the new 90-bed Matilda Nepean Private Hospital in Kingswood, NSW and the $220 million acquisition of Bolton Clarke’s aged care portfolio in South Australia.
-ENDS-
Media contact:
T: 1300 408 776
E: media@australianunity.com.au
About Australian Unity
Established in 1840, Australian Unity is a member-owned wellbeing company with more than 385,000 members and more than 700,000 customers. Our range of health, wealth and care products and services provides member, customer and community value that is supportive of personal and community wellbeing.
About Australian Unity Healthcare Property Trust
Australian Unity's $3.9 billion Healthcare Property Trust was launched in 1999 and has grown to become one of Australia’s largest and most successful unlisted property funds. The Trust currently owns a portfolio of 102 quality assets, including hospitals, medical clinics, aged-care properties, day surgeries, medical offices, consulting rooms, rehabilitation units, radiology, and pathology centres.