DataRoom AM: Triguboff temptation

Talk of a Harry Triguboff auction has been doing the rounds again, with reports the rich lister may recoup $3 billion through a sale of part of Australia’s largest apartment company to a Chinese suitor.

Elsewhere, another Australian start-up strikes it big in the US, Japara Holdings readies for its first day on the ASX and strong buyer interest could push the sale price of Queensland Motorways beyond $6bn.

Harry Triguboff is strongly considering divesting part of his property empire after receiving significant interest from an offshore suitor. Chinese buyers approached Triguboff’s Meriton Apartments a few weeks ago and while he initially hinted at plans to rebuff their advances, the rich lister is now strongly considering offloading a 50 per cent stake for over $3bn, according to The Australian Financial Review.

Triguboff said the possible divestment was still in the early stages of negotiation, but provided there are promises on staff retention, it appears a deal is more likely than not. It’s another sign of the foreign fascination with Australian property, with National Australia Bank yesterday reporting a significant lift in offshore interest in local properties.

Another local start-up is drawing the attention of major venture capital firms in the US just a week after Atlassian’s latest funding round provided its Australian founders with a $3.3bn valuation. The latest local firm to receive a healthy payday is Campaign Monitor, which has been offered $US250 million ($265m) by VC firm Insight Venture Partners.

The funding puts the group in rarefied air as such large investments from just one firm are uncommon. The deal likely values the email marketing service at about $600m, the AFR reports.

Australian infrastructure is also hot property at the moment and buyers, largely led by super/pension funds, could drive the sale price of Queensland Motorways to beyond $6bn. Based on Business Spectator analysis of recent deals, owner Queensland Investment Corporation can expect to reap $6.3bn through the auction, with a consortium led by IFM Investors and Hastings Fund Management now seen likely to edge out a group led by Transurban and a collection of prominent Malaysian investors. Final bids are due by April 22.

In the IPO market, aged care operator Japara Holdings will officially join the ASX today at the price of $2 a share. The listing will take place at 1100 AEST and is expected to raise $450.4m. The float will be closely watched after Beacon Lighting’s staggering debut earlier this week ignited hopes that the IPO market could be emerging from a four-month slump.

Meanwhile, the New Zealand government’s float of Genesis Energy has raised just shy of $700m, bringing the total money raised from the government’s privatisation program to about $4.5bn. Genesis will be dual-listed and will begin trading on the ASX and NZX today.

Finally, Westpac is planning to raise between $500m and $1bn via a listed convertible note, The Australian Financial Review has reported.