Abacus Group sells Storage King stake for $284.8M
- Abacus Group has agreed to sell its entire 19.60% interest in Storage King Group for total gross proceeds of $284.8 million.
- The transaction includes a strategic sale to Ki Corporation and an underwritten institutional block trade at an average price of $1.11 per security.
- The divestment allows Abacus Group to simplify its operating model and reallocate capital into its core commercial property portfolio.
Abacus Group (ASX:ABG) has executed an agreement to sell its full 19.60% stake in Storage King Group (ASX:SKG) for total gross proceeds of $284.8 million.
The divestment follows the internalisation of Storage King Group, which left the holding classified as a non-core financial asset for the property business.
Abacus Group stated that the transaction was structured to realise maximum value by combining a direct strategic sale with an underwritten institutional block trade to efficiently exit the position.
The deal involves selling a 10.37% stake to Ki Corporation at $1.20 per security for $163.5 million alongside an underwritten block trade of the remaining 9.23% interest at $1 per share to raise $121.3 million.
Abacus Group stated that the transaction will strengthen its capital position and support growth initiatives in its core Sydney and Brisbane office markets.
Following the announcement, the Abacus Group share price was up at $0.86.
The commercial real estate trust recently reported funds from operations of $81.2 million for fiscal year 2026 as it completes its transition towards a focused office and retail asset portfolio.
The company is preparing to seek securityholder approval in late November for the final tranche of the Ki Corporation share sale.
