Singapore-headquartered specialist asset and investment manager Rockworth Capital Partners has acquired an 18 per cent strategic stake in Australian Securities Exchange (ASX)-listed diversified real estate funds management platform Elanor Investors Group, according to an announcement.
To break down the numbers further, Rockworth picked up the stake in Elanor through an acquisition of 14.4 million stapled securities from existing security holders and placement of 3.5 million new fully paid stapled securities at a price of A$1.85 per security.
With the deal, Rockworth has become the largest shareholder in Elanor. Lim Kin Song, founder and chief executive, Rockworth, will now be appointed to the Elanor Board of Directors.
“We look forward to working with Elanor to jointly grow our fund management businesses by targeting new assets with value-add potential and co-investment opportunities that will complement our current investment activity,” said Song.
Elanor’s AUM stands at A$1.35 billion across Australia and New Zealand. Listed on the ASE in 2014, its key areas of focus are hotels, tourism and leisure, commercial office and retail real estate.
The partnership will help Rockworth expand its operations in Australia and the broader APAC region, while it will strengthen Elanor’s capital raising capabilities thereby providing it an access to Rockworth’s network of investors.
“The strategic alliance with Rockworth further increases the capital raising capability of the group following a number of global and domestic institutional capital partners that have invested in Elanor managed funds over the last 12 months,” said Glenn Willis, CEO of Elanor Investors Group.
Founded in 2011, Rockworth delivers bespoke investment solutions offering sustainable, superior risk-adjusted returns to family offices, private and institutional investors. Last year, it entered Brisbane’s central business district (CBD) office market by acquiring 100 Edward Street, a freehold office building, for A$60 million ($44.3 million).