AVID Raises Proposal to A$5.45 per Security, Matching Warburg’s Total Offer
Key Facts
On 1 November 2026, AVID submitted a revised, non-binding indicative proposal of A$5.45 in cash per security in Ingenia Communities, up from its previous A$5.35 proposal. The proposal matches the cash consideration offered by Warburg Pincus, with a potential distribution of up to A$0.05 per security, bringing the possible total consideration to A$5.50. Ingenia said its board had determined in good faith that AVID’s revised proposal offered an outcome equal to or better than Warburg’s latest proposal for securityholders as a whole. The group announced the decision in its statement issued on 2 November. The development does not mean a deal has been completed or that a binding offer exists, while Ingenia’s agreement with Peet for the takeover remains in place.
AVID’s move came after Warburg raised its proposal on 28 October to A$5.45 in cash per security, with the possibility of paying a distribution for the half-year ending 31 December 2026 of up to A$0.05. AVID raised its proposal from A$5.35 to A$5.45 in cash per security, exercising its matching right under its process agreement with Ingenia. The proposals therefore have the same basic cash consideration, as well as the same maximum consideration when the potential distribution is included. Reuters estimates AVID’s proposal is valued at A$2.24 billion, equivalent to US$1.57 billion. Reuters said the proposal represents a 15.5% premium to the last closing price before AVID’s first indicative proposal on 26 October.
The board’s decision left AVID’s process agreement in effect, while Ingenia ended Warburg’s access to company due diligence. This marks a change in access to Ingenia information after discussions with Warburg had included access to its data, but it does not decide the outcome of the contest for the company. Ingenia said the board had not determined that AVID’s proposal was a “Superior Proposal” under the scheme implementation deed with Peet dated 26 August 2026. The board also did not indicate an intention to recommend AVID’s proposal. The group confirmed it continues to work with Peet to implement the proposed takeover.
AVID’s revised proposal remains non-binding, with Ingenia saying there is no certainty it will become a formal binding offer or that any transaction will proceed. The group operates a portfolio of affordable rental living communities and holiday accommodation sites, with a focus on Australia’s seniors market. The company said its portfolio comprises 96 communities and development sites under the Ingenia Lifestyle, Ingenia Gardens, Ingenia Holidays and Ingenia Rental brands. It is listed on the Australian Securities Exchange and the S&P/ASX 200, and had a market capitalisation of A$1.7 billion, according to its statement. The negotiations come as Ingenia also proceeds with its proposed acquisition of Peet, valued at A$992.5 million.
Warburg’s attempts to acquire Ingenia date back to early September, when it began with a proposal of A$4.75 per share, then raised it to A$5.05 within two weeks, according to earlier Reuters coverage. Ingenia rejected Warburg’s first two proposals, saying they significantly undervalued the company. At an earlier stage of the negotiations, Ingenia shares rose as much as 9% in the 20 October session after Warburg was granted comprehensive due diligence access. On 2 November, about 3 million shares traded, equivalent to the average 30-day trading volume, Reuters reported. The next step depends on whether AVID’s proposal becomes binding and on the board’s decision regarding the existing Peet agreement.