In addition,
AMP will also be eligible to receive a further cash earn-out of up to
The transaction will unlock value for AMP shareholders. It will also create greater clarity for our people and clients while allowing them to benefit from the experience and successful investment performance track record of
Transaction details
The transaction perimeter for the sale of the real estate and domestic infrastructure equity business includes:
The management platform, including all domestic funds and mandates
Real estate and infrastructure business unit teams and a range of support teams
All of AMP's sponsor investments in real estate funds, including the future committed investments AMP announced as part of its FY 21 result.
AMP will retain its 24.99 per cent equity stake in PCCP and sponsor stake in PCCP Fund VIII (total book value of
This transaction will significantly strengthen AMP's capital position and it intends to use the proceeds to pay down some of its corporate debt and to return capital to shareholders following the sale completion. The capital return will be subject to regulatory and shareholder approval.
Update on international infrastructure equity business
AMP remains in discussions on
AMP will continue these discussions with a focus on maximising the value for shareholders by achieving the best outcome for clients and other stakeholders.
Subject to completion of the sale of the real estate and domestic infrastructure equity business, AMP will no longer pursue a demerger of
AMP will provide a further update to the market as material developments occur.
AMP Limited Chair,
'The sale of the real estate and domestic infrastructure equity business is a strong outcome for AMP shareholders and
'As we work towards completing the transaction, a key priority for our board will be returning capital to AMP shareholders in acknowledgement of their patience as we have pursued options to maximise value for them.
'We continue our discussions on the remaining international infrastructure equity business in order to achieve the best outcomes for AMP shareholders, clients and our teams.'
AMP Chief Executive,
'The transaction announced today accelerates the realisation of value for our shareholders.
'In Dexus we have found a strong owner for the real estate and domestic infrastructure equity businesses, which will add significant value through their strong track record and experience in real estate and asset management. Their depth of talent will strongly complement our specialist teams.
'Discussions with interested parties on the sale of our international infrastructure equity business continue. Any decisions will be driven by our focus on delivering value for shareholders, leveraging the expertise of our investment teams and working closely with our clients to align an outcome that best supports them.'
Conditions precedent
Completion of the transaction is subject to conditions precedent, including:
Regulatory approvals required in
Completion of a restructure to deliver the necessary sale perimeter
Necessary debt financier consents arising from the transaction
Necessary consents from certain other counterparties.
Unremedied breaches of warranties or indemnities before completion likely to cause substantial loss to
Consents, contractual triggers or other defaults arising from the transaction likely to cause substantial loss to fund investors and other clients.
The transaction is expected to complete during 2H 2022.
About
Authorised for release by the Market Disclosure Committee.
[1] Based on current unit values
[2] Final proceeds are dependent on current unit value at time of acquisition
[3] Represents Net Asset Value as at FY 21; invested AUM excludes uncalled commitments and JV-related AUM
Contact details
+61 417 256 563
Brett_Zarb@amp.com.au
Contact details
+61 (0) 466 328 581
Mark_Roberts@amp.com.au
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