NorthWest Healthcare Properties REIT's subsidiary NorthWest Australia triggered the mandatory buyout of all remaining units in Generation Healthcare REIT, after the former raised its stake in the latter to 93.6% at the expiration of its all-cash unconditional offer.
Unit holders of Generation Healthcare had until 7 p.m. Sydney time on June 8 to accept the offer, before NorthWest Healthcare took over their units via a compulsory acquisition.
Following the acquisition, which should be completed by July 31, Generation Healthcare will become a wholly owned subsidiary of NorthWest Healthcare, with Generation CEO Miles Wentworth and Director Chris Adams expected to continue leading Generation Healthcare.
In April, NorthWest Healthcare proposed to acquire Generation Healthcare in an all-cash, unconditional and off-market takeover bid for A$2.24 per unit that NorthWest did not already own, representing a 45.5% premium to Generation Healthcare's net tangible assets as of Dec. 31, 2016. NorthWest had a 22.73% relevant interest in the target company as of April.