Australia’s leading independent law firm, Corrs Chambers Westgarth, is advising ESR on its A$723 million off-market takeover bid for ASX-listed Propertylink Group.
ESR’s cash takeover offer recently opened for acceptance by Propertylink security holders, following entry into a bid implementation agreement by ESR and Propertylink in mid-November. At the time of making the takeover offer, ESR held at 19.89% stake in Propertylink, which it acquired as part of a series of market raids that Corrs also advised on in 2017.
Backed by US private equity giant Warburg Pincus, ESR is a leading Asia-Pacific focused logistics real estate and funds management platform, with an ambition to establish a pre-eminent position in the Australian market. ESR focuses on developing and managing institutional quality logistics facilities that cater to third-party logistics providers, e-commerce companies, bricks-and-mortar retailers, cold-chain logistics providers and industrial companies and currently has assets under management worth over US$13 billion.
Propertylink is an ASX-listed internally managed REIT, which specialises in Australian industrial and office investments. Propertylink is a constituent of the S&P / ASX 300 Index and has a wholly owned industrial property portfolio, an investment management platform and co-investments in external funds.
ESR’s takeover bid for Propertylink is part of ESR’s focus on value creation which involves expanding its operations in Australia and identifying accretive acquisition targets for ESR, both as an owner of property and a fund, asset and property manager.
The Corrs deal team is led by Partners Sandy Mak, Adam Foreman and James Morley, who were supported by Special Counsel James Shirbin, Lawyers Tatiana Stein, Corinne O’Sullivan and Jordana Montag, and Graduate Justin Katz. The deal team was assisted from a real estate perspective by partner Andrew Leadston and his team. Corrs also advised on the finance aspects of the transaction, drawing on the expertise of Partner Simon Reid and Senior Associate James McNaught.
Commenting on the matter, Sandy Mak said: “We are pleased to be advising ESR on this highly strategic and complex takeover offer which was made following Propertylink’s announcement of a proposal to acquire Centuria Industrial REIT in September, as a result of which Propertylink has now confirmed that it does not intend to proceed with an offer to acquire Centuria.”
“We are excited to be acting on another transaction with ESR, following our role earlier this year advising ESR on its acquisition of property development and construction company, Commercial & Industrial Property Pty Ltd,” said Partner Adam Foreman.
Credit Suisse is acting as ESR’s financial advisor.