Property groups Lend Lease and Mirvac are also making news with the former announcing its plans to become a stapled entity and the latter launching a cash and scrip offer for the associated Mirvac Real Estate Investment Trust (MRZ). Lend Lease, which is hoping to gain a more efficient capital structure through the stapling proposal, itself recently made an offer for Lend Lease Primelife Group, which owns retirement homes. Lend Lease Primelife's independent directors have recommended the 31 cents per share offer but many investors are unhappy, especially as the directors stated a net asset backing of 55 cents per share at June 30 this year. Mirvac meanwhile is offering MRZ unitholders one Mirvac stapled security for each MRZ unit held or 50 cents per unit for the first 20,000 units and then the one-for-three offer implying a value of 54 cents per unit. As at June 30 MRZ had net tangible assets of 85 cents per unit like with Lend Lease Primelife, not all MRZ unitholders will be very pleased with the proposal, itself at a slight discount to yesterday’s close at 55 cents.
LLP Price at posting:
30.0¢ Sentiment: None Disclosure: Held
