"We're well equipped to actually deal with the assessment as to the suitability of these villages having been through a very significant due diligence process with respect to those [17 villages] that have been invited to join the company," Wilson said.
Arvida expects to have net debt of around $7.8 million following the IPO and will have a $40 million debt facility with its bank, which is likely to be drawn upon to fund growth.
Wilson said the major focus following the IPO would be integrating the 17 villages into the group, but the firm could begin considering acquisitions after six months.
The company is also planning to grow through the expansion of existing facilities and the development of new ones.
Ten of Arvida's 17 villages are located in Canterbury, with the remaining facilities in Nelson, Blenheim, Waikanae, Palmerston North, New Plymouth and the Bay of Plenty.
It will have 952 aged care beds and 812 retirement units, with 1800 residents and 1000 staff.
Wilson said the company wanted to extend its "geographic coverage"into areas of New Zealand where it doesn't currently operate.
"That will be a criteria that will be applied to any new acquisitions."
Forsyth Barr investment banking director Brent Pattison said New Zealand investors were very familiar with the aged care sector.
Arvida will join Ryman Healthcare, Summerset Group and Metlifecare on the NZX.
"We think that Arvida Group represents something unique in the sense that it's got a greater concentration towards care [rather than unserviced apartments]," Pattison said. "That means it doesn't have the same volatility in its earnings and has stronger and more consistent cash-flows."
Eighty per cent of Arvida's portfolio provides care services through care beds and serviced apartments.
Arvida's prospectus, lodged with the Companies Office yesterday, said shares would be priced at 85c to $1 apiece, giving the firm an indicative market capitalisation of $199.8 million to $221.4 million.
Final pricing will be set through a bookbuild with institutional investors and brokers this week.
Owners of the 17 villages will receive Arvida shares, rather than cash, in return for their holdings.
All Blacks including Dan Carter, Richie McCaw and Kieran Reid own shares in one of the facilities involved in the merger, Christchurch's Park Lane Retirement Village.
Existing investors will own around 60 per cent of the company following the IPO and will be subject to sale restrictions on their shares until May 31, 2016.
Arvida has forecast net profit of $10.6 million for its first full year of operation -- the 12 months to March 2016.
The company said it intends to pay quarterly dividends amounting to 60 to 80 per cent of underlying profit.
A gross dividend yield of 5.7 per cent to 6.3 per cent is anticipated in the 2016 financial year, the firm said.
Arvida said the aggregate value of its 17 villages was assessed to be $227 million at March 31 this year.
Read the Arvida announcement here:
