Research Update: Dexus Wholesale Property Fund Outlook Revised To Positive On Announced Merger; 'A' Rating Affirmed

Australia-based Dexus Wholesale Property Fund's (DWPF) announced merger with AMP Diversified Property Fund (ADPF) will compliment and strengthen the fund's scale and diversity. When the merger is completed, the value of the asset portfolio of the combined fund will be A$13.6 billion. We believe DWPF has a credible strategy to attempt to satisfy the A$2.0 billion of equity redemption requests from ADPF unitholders. This is likely to occur over an 18-month liquidity window ending Nov. 17, 2022. On May 5, 2021, we revised our outlook on DWPF to positive from stable and affirmed our 'A' long-term issuer credit rating. The positive outlook reflects our expectation that DWPF's expanded scale and more diverse asset profile could lead to an upgrade if

...- Australia-based Dexus Wholesale Property Fund's (DWPF) announced merger with AMP Diversified Property Fund (ADPF) will compliment and strengthen the fund's scale and diversity. When the merger is completed, the value of the asset portfolio of the combined fund will be A$13.6 billion. - We believe DWPF has a credible strategy to attempt to satisfy the A$2.0 billion of equity redemption requests from ADPF unitholders. This is likely to occur over an 18-month liquidity window ending Nov. 17, 2022. - On May 5, 2021, we revised our outlook on DWPF to positive from stable and affirmed our 'A' long-term issuer credit rating. - The positive outlook reflects our expectation that DWPF's expanded scale and more diverse asset profile could lead to an upgrade if the merger with ADPF is completed as proposed and DWPF's financial policies and operating strategy remain unchanged....

Research Update