Commercial

Aussie manager buys into PMG

Australian-based investment and funds manager, 360 Capital has taken a 50% stake in NZ funds manager PMG Property Funds Management.

Friday, February 19th 2021

The 50% equity partnership through PMG’s parent company PMG Holdings has taken 12 months to put together. It completes chairman Denis McMahon’s long held wish for the “type of strengths 360 Capital bring to the table”.

PMG has more than $500 million under management through a range of unlisted property funds while 360 Capital has A$444 million in FUM. It buys Australian real estate assets, invests in Australian equities, unlisted private companies and senior and junior corporate debt.     

PMG chief executive Scott McKenzie (pictured) says the partnership strengthens the fund’s ability to acquire high-quality New Zealand properties. It also provides greater performance and resilience to its funds and investors, he adds.

“For our tenants, it means we can continue to be a landlord of choice, ensuring their spaces are fit for purpose now and for their businesses in the future.”

PMG’s existing management team will remain the same. With day-to-day operating and management decisions being made by McKenzie, chief financial officer Nigel Lowe, and head of investment Daniel Lem.

McKenzie, Lowe and McMahon will remain on the PMG board. Dr Wayne Beilby will also remain on the board as an independent director. Founder and chairman of PMG, McMahon, will remain as chairman.

An additional independent director and three members of the 360 Capital team will join the board. Adding to PMG’s property funds management experience and governance capability.

McMahon says one of the catalysts for 360 Capital’s interest in partnering with PMG has been how the company has managed through the uncertainty of the past 12 months.

He says although PMG has been approached by a number of firms wanting to work with it over the past few years, the company never felt it had met a partner who shares its values until it decided to work with 360 Capital.

“The partnership will enhance PMG’s ability to continue to sustainably meet our strategic goals in what is an uncertain economic environment.”

Head of real assets for 360 Capital, James Storey, says the company is excited about partnering with PMG – considering its solid performance and history over the past 29 years, and the potential it sees for investors long term.

“Like PMG, we are a high conviction investor, focused on long-term sustainable returns for investors,” says Storey. “As an equity partner, we will bring further opportunities and add value through our many years of investment and governance experience to PMG's already strong funds management business.”

Comments

No comments yet

Heartland Bank - Online 1.85
The Co-operative Bank - First Home Special 2.09
SBS Bank Special 2.19
TSB Special 2.25
The Co-operative Bank - Owner Occ 2.25
Kainga Ora - First Home Buyer Special 2.25
ICBC 2.25
AIA 2.25
Westpac Special 2.25
HSBC Special 2.25
ANZ Special 2.25
ICBC 2.35
HSBC Premier 2.35
Heartland Bank - Online 2.35
TSB Special 2.49
SBS Bank Special 2.49
Kiwibank Special 2.55
BNZ - Classic 2.55
The Co-operative Bank - Owner Occ 2.59
AIA 2.59
Westpac Special 2.59
ASB Bank 2.59
HSBC Premier 2.89
China Construction Bank Special 2.99
ICBC 2.99
SBS Bank Special 3.19
Kainga Ora 3.37
The Co-operative Bank - Owner Occ 3.39
TSB Special 3.39
AIA 3.39
Kiwibank Special 3.39
BNZ - Classic 3.39
ASB Bank 3.39
Heartland Bank - Online 1.95
Resimac 3.39
Kiwibank - Offset 3.40
Kiwibank Special 3.40
Kiwibank 3.40
Bluestone 3.49
Select Home Loans 3.49
ICBC 3.69
The Co-operative Bank - Standard 4.40
The Co-operative Bank - Owner Occ 4.40
Kainga Ora 4.43

More Stories

Concerns about new tax ‘dismissed out of hand’

Friday, May 14th 2021

Concerns about new tax ‘dismissed out of hand’

The Property Investors Federation’s pleas for the Government to stop plans removing investors’ ability to claim mortgage interest payments as a tax deduction or modify how the policy is introduced have fallen on deaf ears.

House prices haven’t dropped yet – new records set

Thursday, May 13th 2021

House prices haven’t dropped yet – new records set

Records for house prices have been set yet again despite the lowest number of houses available for sale during an April month since records began.

Methamphetamine use doesn’t mean eviction

Wednesday, May 12th 2021

Methamphetamine use doesn’t mean eviction

A landlord who wanted to evict a tenant because of possible methamphetamine use by two flatmates has been slapped down by the Tenancy Tribunal.

New homes under threat from overstretched construction sector

Wednesday, May 12th 2021

New homes under threat from overstretched construction sector

While the unemployment rate has fallen to 4.7% it could have an outsized risk for new home building.