Approval was granted earlier this week from the Supreme Court of New South Wales for the acquisition of residential developer Villa World Limited by the AVID Property Group.

Villa World shareholders voted overwhelmingly in favour of the transaction on Friday 11 October 2019, securing a 97.96 per cent majority.

This means that AVID, a privately-owned Australian property developer, will increase its portfolio from 10 to 37 projects and more than 12,000 residential lots, securing a gross revenue pipeline of $4.7 billion. 

At a glance:

• AVID’s portfolio will expand to more than 12,000 residential lots and its gross revenue pipeline will also increase to $4.7 billion.
• Villa World currently has 27 communities across Australia.
• The combined portfolio will comprise of 37 projects along the eastern seaboard of Australia.

AVID CEO Cameron Holt said the acquisition was a strategic move combining two strong performing and complementary businesses and would make AVID a significant Australian property player and add to its already diverse mix of developments. 

“The merger is a significant step for both companies and we’re excited about merging the two businesses and combining our expertise to continue building communities that leave a positive legacy for our residents,” said Mr Holt. 

“The success of this merger means we will strengthen our presence in South East Queensland, in particular, with an additional 16 projects – further positioning AVID as a key national industry contributor.” 

The combined business will have greater scale and diversity in its product offering, with Villa World’s portfolio including medium-density living and masterplanned communities. 

“The deal provides the opportunity to leverage the combined talent and expertise of both businesses, which will create a stronger foundation to deliver on our growth strategy,” said Mr Holt. 

“Our joint focus on results, innovation, being customer focused, creating communities and addressing affordable housing in Australia, positions us firmly as a key national industry
contributor." 

Villa World has ceased trading on the ASX as of Wednesday 16 October 2019, with implementation of the Scheme set to occur on Wednesday 30 October 2019.

For more information, visit www.avid.com.au

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