EQT Infrastructure to acquire Stockland Retirement Living, one of the largest providers of senior living communities in Australia
- EQT Infrastructure acquires Stockland Retirement Living, a leading provider of community living and support for over 10,000 senior Australians
- Stockland Retirement Living will benefit from EQT’s significant experience in the healthcare space globally as the demand for high-quality retirement living and aged care services is expected to grow in Australia over the coming years
- EQT Infrastructure is committed to investing in Stockland Retirement Living’s continued growth, broadened service offering, and further strengthening its digital backbone
EQT is pleased to announce that EQT Infrastructure V fund (“EQT Infrastructure”) has agreed to acquire Stockland Retirement Living (the “Company”) from Stockland Group, one of Australia’s largest diversified property management operators. The transaction valued Stockland Retirement Living at AUD 987 million.
Stockland Retirement Living is one of the largest providers of retirement living in Australia, with over 10,000 residents in 58 villages across Australia’s eastern seaboard, and a pipeline of 1,300 new units to be developed in attractive retirement locations.
Demand for high-quality retirement living in Australia has demonstrated consistent strong growth over recent years, underpinned by Australia’s aging population and the increased value placed on the sense of security and community offered by retirement villages. As demand for retirement living increases, it is also expected that the growing requirement for higher levels of care services within retirement villages will continue.
EQT has a well-established track record in the aged care sector, globally as well as within Australia and New Zealand. EQT will focus on leveraging this experience and its global network of industry advisors to support Stockland’s Retirement Living portfolio in growing its footprint, increasing the range of services provided to its residents, and investing in technology and digital initiatives to further improve the Company’s offering.
Tarun Gupta, CEO of Stockland Group said “I am delighted that we have found a strong Retirement Living owner and operator to acquire Stockland's Retirement Living platform. EQT is a purpose-led organisation with a well-established track record in healthcare, aged care and retirement living. We are confident that EQT will be the right custodian for the residents and employees, and are well placed to support the continued growth of the high quality Retirement Living platform.”
“We have an accomplished and dedicated team in our Retirement Living business, who will transfer to EQT at completion of the transaction. They continue to be focused on providing the best possible care and resident experience across the portfolio.”
“The announcement today does not impact on any of the arrangements with our residents. It will be business as usual for our residents, noting on completion they will have a new partner with significant experience in running industry leading retirement living villages.”
Ken Wong, EQT’s Head of Asia Pacific, Infrastructure said, “Stockland Retirement Living is a clear leader in the Australian retirement living space and we are excited about partnering with the company and supporting its ability to continue to develop and operate high-quality retirement villages. With an aging Australian population and increased focus on enabling Australians to age in place, we are excited to have the opportunity to use our significant global experience in the aged care sector to enhance the range of services provided to current and future residents of Stockland’s villages.”
The transaction is subject to customary conditions and approvals, including the approval of the Foreign Investment Review Board. It is expected to close in late Q2 2022.
EQT Infrastructure was advised by Goldman Sachs and King & Wood Mallesons.
With this transaction EQT Infrastructure V is expected to be 70 – 75 percent invested (including closed and/or signed investments, announced public offers, if applicable, and less any expected syndication) and subject to customary regulatory approvals.
EQT is a purpose-driven global investment organization with EUR 73.4 billion in assets under management across 28 active funds. EQT funds have portfolio companies in Europe, Asia-Pacific and the Americas with total sales of approximately EUR 29 billion and more than 175,000 employees. EQT works with portfolio companies to achieve sustainable growth, operational excellence and market leadership.
About Stockland: Stockland (ASX: SGP) was founded in 1952 and has grown to become Australia’s largest diversified property group – owning, developing and managing a large portfolio of shopping centres, residential communities, retirement living villages, office and industrial assets. Stockland is consistently recognised by the S&P Dow Jones Sustainability Indices (DJSI) as a global real estate leader, demonstrating world leadership across the areas of corporate governance, stakeholder engagement, climate strategy, social integration and regeneration and corporate citizenship. Stockland has been identified as a global leader for its actions and strategies in response to climate change and has been awarded a position on the Climate A List by CDP and recognised as the Regional Sector Leader for Diversified Property Companies on the Global Real Estate Sustainability Benchmark (GRESB). Stockland has also been recognised as an Employer of Choice for Gender Equality by the Australian Government’s Workplace Gender Equality Agency (WGEA).
More info: www.stockland.com.au