Multiplex deal expands NZ property holding

Australian construction company Multiplex has agreed to buy commercial property assets in New Zealand for $216 million from Am Trust Group, to boost its real estate investment trust business.

Sydney-based Multiplex told the ASX yesterday the assets would be offered to the Multiplex New Zealand Property Fund for syndication at $223 million.

The New Zealand fund had recently raised A$114.3 million ($123 million) selling shares.

The acquisition will be funded by debt and shares. It will boost external funds under management at Multiplex's trust management division to A$2.3 billion from A$2.1 billion.

The transaction is expected to be completed by late May.

- BLOOMBERG