Australians secure 60 per cent stake in Metlifecare

Australian joint venture Retirement Village NZ looks to have secured a 60 per cent stake in the retirement village operator Metlifecare after upping its offer.

Todd Lifecare, which owns a 35 per cent stake in Metlifecare, has accepted an offer of $3.90 a share -- up from the $3.75 a share offered late last month.

Together with Private Healthcare's (PHC) 25 per cent stake this pushes Retirement Village's holding to 60 per cent.

PHC provisionally accepted Retirement Village's offer last month, but a 1999 shareholder agreement meant Todd had first dibs on PHCs stake. This meant that PHC's owner Cliff Cook first had to offer his shares to Todd at the same price Retirement Village was offering.

A "drag-along" provision in the agreement meant if Todd did not agree to buy PHC's stake it had to accept Retirement Village's offer -- which it has now done.

In a substantial shareholders notice lodged with the stock exchange today, Retirement Village said both PHC and Todd had agreed to accept its offer, which is open to all remaining shareholders.

Retirement Village NZ, is a jv between Macquarie Bank and Australian property company FKP.

Shares in Metlifecare rose 15c, or 4 per cent, in morning trading today, to $3.88. Over the past year the shares have ranged between $2.45 and $3.95.

- NZPA