Asset Sales Likely At B&b Communities
Sydney Morning Herald
Thursday August 28, 2008
THE aged care and retirement homes offshoot of Babcock & Brown is expected to unveil a sweeping program of assets sales today as it seeks to relieve the financing pressures on its stressed balance sheet.
Details of the proposed disposals form part of a strategic review of B&B Communities that the fund has been undertaking since June and will accompany the release of its annual results.In a mirror image of the problems faced by the B&B mothership, the developer and operator of aged care facilities and retirement villages across Australia and New Zealand has seen its share price drop sharply since the start of the year as a result of concerns about its debt position.Yesterday BBC asked for its shares to be placed in a trading halt at 34.5 cents before the release of the review. The details will be closely watched by the property developer Lend Lease, which last month increased its stake in BBC to 7.2 per cent as part of its plans to expand into the retirement home sector.
© 2008 Sydney Morning Herald
