One of New Zealand's biggest retirement village and rest home operators could be poised to list on the NZX and ASX, seeking to raise up to $300 million, according to the Australian Financial Review.
"The IPO pipeline is full of local aged-care operators jockeying for listings in coming months, but a Kiwi company threatens to beat them in the race for the sharemarket boards. It is understood Oceania Group, which has 50 retirement villages and rest homes throughout New Zealand and more than 3600 beds, has appointed brokers First NZ Capital and Craigs after running a beauty parade in recent weeks, and has its eyes firmly set on a 2014 market listing," the AFR says.
Oceania says it has more 1000 people in its retirement villages, 3600 rest home and hospital level beds and 3200 staff.
Ryman Healthcare, Metlifecare and Summerset Group are listed retirement owners and operators, popular with many institutional and retail investors for the exposure they get to a sector regarded as having high growth opportunities.
Ryman yesterday announced the purchase of Tropicana, an 8.9ha farm in the Lynfield/Mt Roskill area where it will develop one of New Zealand's biggest new villages.
• Ryman adds Tropicana to its portfolio
The AFR raised the possibility of Oceania listing on the ASX.
"Oceania may consider a dual listing, in line with listed rival Summerset Group which has its primary listing in New Zealand and a secondary listing on the ASX. Such structures have also been favoured by energy companies Mighty River Power, Genesis Energy, Z Energy and Meridian Energy in the past two years, along with glass-maker Metro Performance Glass, among others. Oceania's move comes as Australian aged-care operators Regis Aged Care and Estia Health run hard for listings of their own, with both slated for the coming months, while RetireAustralia has been working with JPMorgan and Morgan Stanley on an IPO," the AFR said.
Oceania Group was formed in 2008 following the merger of Qualcare and Eldercare.