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Frasers Centrepoint set to take control of Australia's Australand

Singapore mainboard-listed Frasers Centrepoint Limited (FCL) looks set to take control of Australia's Australand Property Group in a deal valued at S$3 billion.

SINGAPORE: Singapore mainboard-listed Frasers Centrepoint Limited (FCL) looks set to take control of Australia's Australand Property Group. In a filing to the Singapore Exchange, FCL said it had won sufficient shareholder backing to make the takeover offer unconditional. The deal is valued at A$2.6 billion (S$3 billion).

FCL managed to secure 56.8 per cent acceptance without the backing of Australand's biggest shareholder Stockland. The Australian property group - which holds a 19.9 per cent stake - had been vying with FCL to take over Australand.

The bidding war between the two companies began shortly after Singapore's CapitaLand sold a 39 per cent stake in Australand this March.

Australia is a core market for FCL, and the group said the acquisition is expected to deliver a substantial increase in earnings from outside of Singapore. FCL, which is backed by Thai billionaire Charoen Sirivadhanabhakdi, is spun off from Fraser and Neave. It started trading as an independent unit in January 2014.

Australand's shares closed at A$4.48 at market close, up 16.4 per cent year-to-date. FCL's shares also traded higher, closing almost 20 per cent higher year-to-date at S$1.78 apiece.

In accordance with Australian law, the offer period has been automatically extended by two weeks. It will now close on August 21 at 7pm (Sydney time).