Peet remains in play as Ingenia extends Warburg Pincus talks
Ingenia Communities has given Warburg Pincus broader due diligence access and extended the deadline for agreeing a process deed.
The move keeps the private equity firm’s $5.25-a-security takeover proposal in play alongside Ingenia’s planned acquisition of Peet.
The listed land lease community operator said it had made considerable progress towards agreeing a process deed with Warburg Pincus, with both parties now aiming to finalise the document by Friday, October 23.
Warburg Pincus will be allowed to undertake comprehensive due diligence in the meantime.
The revised timetable follows a condition requiring the parties to agree a mutually acceptable process deed by October 19.
Warburg Pincus takeover
Warburg Pincus is proposing to acquire all Ingenia securities through a scheme of arrangement and trust schemes for $5.25 cash per stapled security.
Eligible securityholders would also be able to retain a distribution of up to 5 cents per security for the half-year ending December 31, without reducing the proposed price.
The proposal remains non-binding (continues below).
Ingenia said it continued to comply with its scheme implementation deed with Peet, signed on August 26, and was progressing the proposed acquisition.
The board has not determined that the Warburg Pincus proposal qualifies as a Bidder Superior Proposal under the Peet agreement, a status that could give Ingenia rights to terminate the existing transaction.
Conditional deal
Warburg Pincus has made its proposal conditional on Ingenia abandoning the Peet acquisition.
That proposed deal, valued at $992.5m when announced, would expand Ingenia’s residential development pipeline and land lease community platform.
Ingenia has previously rejected Warburg Pincus proposals at $4.75 and $5.05 per security.
Warburg Pincus increased the offer to $5.25 in late September.
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