The trustee-manager of KIT, on June 3, announced that it has completed the acquisition of the 97.68% stake in Ventura Motors.
Ventura Motors is the largest bus service business in Victoria, Australia. It operates some 530 routes out of the total of 1,200 routes in Melbourne.
Following the acquisition, Andrew Cornwall, the current managing director of Ventura, will remain as its CEO. He will also retain the remaining minority stake in Ventura.
The acquisition was funded by a term loan facility of up to $400 million.
“The addition of Ventura to KIT’s portfolio will help to bolster recurring and predictable cash flows for the Trust. As the new owner, KIT will further the successes of the Ventura team as the business enters its next phase of growth,” says Kevin Neo, CEO of the manager.
“Tapping on Keppel and KIT’s wider experience in designing, executing and managing electric vehicle (EV) charging solutions, we will work closely with Andrew and the management team to accelerate Ventura’s electrification program to support the Victorian Government’s drive for zero-emission bus services,” he adds.
See also: Vitasoy ‘open to collaboration’ as speculation mounts over Philip Ng takeover
Upon the completion of the acquisition, KIT’s assets under management (AUM) will grow to $8.8 billion from $8.1 billion as at Jan 2.
Units in KIT closed flat at 45.5 cents on June 3.
