SingPost to divest Australia business at A$1 billion enterprise value to private equity fund

SINGAPORE Post (SingPost) has entered into a share purchase agreement to divest its Australian business at an enterprise value of A$1 billion (S$870 million) as part of the outcome of a strategic review. The review, launched earlier this year, sought to explore strategic options that would enhance business value and maximise shareholder value, it said.

SingPost will receive actual cash proceeds of A$775.9 million and generate a gain on disposal of about S$312.1 million, subject to adjustments determined at the time the deal is completed. 

The buyer is Pacific Equity Partners, an Australia-headquartered private equity fund, said the national postal service provider on Monday (Dec 2).