Canada's NorthWest launches $2 billion healthcare fund in Australia
|Areas||Corporate Finance and Securities, Tax|
Northwest Healthcare (TSX:NWH.UN), Canada's leading global diversified healthcare real estate investment trust, today announced that it has entered into a joint venture agreement (“Joint Venture” or “JV”) with a large sovereign wealth fund (the “Institutional Investor”).
The JV commitment is expected to be fully deployed over a 4 year period and once full deployed, Northwest expects to benefit from third-party fee bearing assets under management of approximately A$1.4 billion. As part of the JV commitment, Northwest has also agreed to sell three income producing properties and one development property (collectively the “Seed Portfolio”) to the JV with an as-complete value of approximately A$412 million. Northwest will redeploy net proceeds after repayment of property level financing from the Seed Portfolio sale of approximately A$180 million to fund future JV acquisitions, as well as pursue additional global investment opportunities.