Eureka Group acquires Tasmanian assets for $18 million

Eureka Group acquires Tasmanian assets for $18 million

Eureka Group Holdings (ASX: EGH) has acquired five rental villages throughout Tasmania in a joint venture deal with a group of private investors.

The Gold Coast-based retirement village operator acquired the seniors' rental assets in Hobart, Launceston and Devonport from Ingenia for a total of $18 million.

The acquisition adds 254 new units to Eureka's portfolio which now includes 32 owned villages and 9 villages under management.

Eureka has debt funded the acquisitions, however it plans to offset costs by selling off its non-core assets over the next 12 months.

The transaction is due to settle in April and CEO Jeff Weigh says the group will continue to target new assets in growing its portfolio.

"[Eureka's] prime objective is to aggregate assets in the growing retirement sector and achieve increased returns from a profitable growth platform," says Weigh.

Never miss a news update, subscribe here. Follow us on Facebook, LinkedIn, Instagram and Twitter.

Business News Australia

Help us deliver quality journalism to you.
As a free and independent news site providing daily updates
during a period of unprecedented challenges for businesses everywhere
we call on your support

The cost of not communicating: How Whispir’s tailored messaging tech lifts engagement
Partner Content
While it is common for businesses to haggle with suppliers over small price differences...
Advertisement

Related Stories

Administrators proffer alternative to liquidation for Probuild parent

Administrators proffer alternative to liquidation for Probuild parent

A Deed of Company Arrangement (DOCA) is the preferred way forward f...

Twiggy Forrest-backed intercontinental solar power project deemed ‘investment ready’

Twiggy Forrest-backed intercontinental solar power project deemed ‘investment ready’

The Australia-Asia PowerLink (AAPowerLink) project backed by the li...

Jetstar CEO to resign as Qantas Group recovery reaches cruising altitude

Jetstar CEO to resign as Qantas Group recovery reaches cruising altitude

Jetstar CEO Gareth Evans has today announced he will step down from...

Keylin, Kinstone Group reveal plans for $1.5 billion hospital and health precinct in Coomera

Keylin, Kinstone Group reveal plans for $1.5 billion hospital and health precinct in Coomera

Two Queensland-based developers have teamed up to deliver a $1.5 bi...