AMP Capital acknowledges the decision by ADPF’s Independent Board Committee (IBC) to recommend a proposal to merge ADPF with the Dexus Wholesale Property Fund (DWPF) last night (15 March 2021). The merger remains subject to a vote of unitholders, and AMP Capital will now continue to engage directly with unitholders, as well as with the IBC.
AMP Capital has put forward an alternative proposal to the merger, which it believes will deliver value to unitholders. The proposal is supported by AMP Limited, which has kept Ares Management Corporation informed. AMP and Ares are currently in discussions regarding a joint venture for AMP Capital’s private markets businesses, including Real Estate.
The final decision on the merger proposal is subject to a vote by ADPF unitholders, which is expected to be held in the coming weeks, as well as approval from DWPF unitholders.
ADPF is a diversified real estate investment fund, which was ranked no. 1 in both the MSCI/Mercer survey and the ANREV Australian Core Open End Fund Index survey for the most recent one-year period.
Kylie O’Connor, AMP Capital’s Head of Real Estate commented: “While we respect the IBC’s decision, we have strong conviction and confidence in our team and its knowledge of the ADPF portfolio. The performance of ADPF speaks for itself and we are confident that our proposal will deliver benefits to all ADPF unitholders. We will continue to engage directly with unitholders on the benefits of our proposal and the high-quality nature of the portfolio.
“AMP Capital has a proud history of managing ADPF since its first iteration in 1971 – a core portfolio of high-quality assets across the retail, office and logistics sectors, focused on achieving strong risk adjusted returns through active portfolio construction and asset management,” said Ms O’Connor.
“Our focus has always been on performance for unitholders, as well as managing the assets sustainably, and creating premium spaces for our tenants. Our track record in managing shopping centres and office locations is a strong testament to this.
“We are committed to continuing to work in the best interests of unitholders and tenants in all outcomes,” Ms O’Connor said.
About AMP Capital
AMP Capital is one of the largest and most experienced direct real estate fund managers in the Asia Pacific, with more than $28 billion in funds under management as at 31 December 2020. AMP Capital offers institutional and private investors access to real estate equity and debt opportunities globally through a range of wholesale funds and separately managed solutions.