Aevum Says It Is Open to Discussions With Stockland on Takeover Offer

Aevum Ltd., an operator of Australian retirement communities, is open to talks with Stockland after rejecting a takeover bid from its biggest shareholder.

Aevum, which turned down a A$266 million ($242 million) offer from Australia’s biggest diversified property group, doesn’t have a particular price it’s seeking, Managing Director Steve Mann said in a telephone interview today.

“We’re happy to have discussions with Stockland,” Mann said.

The Sydney-based retirement-village operator today responded to Stockland’s takeover offer of A$1.50 per share, advising shareholders to take no action, saying the bid is “highly opportunistic and significantly undervalues Aevum.” The company named Greenhill Caliburn as its financial adviser and Minter Ellison as its legal adviser on Stockland’s offer.

Aevum shares closed 2.3 percent higher at A$1.58 in Sydney, after yesterday surging 42 percent to A$1.55 after Stockland’s offer. Stockland rose 0.8 percent to close at A$3.87.

To contact the reporter on this story: Nichola Saminather in Sydney at Nsaminather1@bloomberg.net.