Heartland to acquire livestock business in Australia

Level 3, Heartland House, 35 Teed Street, Newmarket, Auckland, New Zealand Heartland Group Holdings Limited (Heartland, NZX/ASX: HGH) is pleased to announce that it has signed conditional sale documentation for the acquisition of StockCo Holdings 2 Pty Ltd from its current shareholders StockCo Australia Holdings Limited (70%) and Elders Rural Service Australia Limited (Elders, ASX: ELD) (30%).

The acquisition, worth a total of A$143 million, will extend Heartland’s ‘best or only’ strategy in Australia and add to Heartland’s existing A$1.2 billion Australian Reverse Mortgage business.

The acquisition is expected to contribute additional annual net profit after tax of A$10 million to A$12 million, before any ongoing cost of acquisition debt funding.

The completion of the acquisition remains subject to execution of a new operational funding facility and other conditions, and is expected to complete by the end of May 2022.