25 May 2016

Arvida profit above float forecast

4:41 pm on 25 May 2016

Aquisitions and high demand has seen the listed retirement village operator Arvida Group report a better than expected full-year result.

Its net profit in the 12 months ended March was $24 million, ahead of its share float forecast of $10.6m.

The firm was listed on the stock exchange in late 2014 and last year acquired three villages and aged care facilities in Auckland for $63.8m.

Arvida's chief executive Bill McDonald said that contributed to the result.

"It points to solid operations, the fact that we'd acquired well during the year with the Aria acquisitions in Auckland and the solid performance from our care facilities," he said.

Mr McDonald said Arvida has entered into a conditional agreement to buy the Lansdowne Park retirement facility in Masterton for $20.6m.

He said the acquisition was subject to regulatory approvals and was being funded by existing debt facilities.

Settlement is expected by the end of June.

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