McGrath offering attracts wide investor field

PRIVATE equity and other investors are circling a near 15 per cent stake in ASX-listed real estate agents McGrath, with several high-profile agents banding together to maximise the value of their holdings.

Stockbroker Wilsons lodged a substantial shareholding no- tice with the market for a 14.66 per cent slice of McGrath. The notice was on behalf of wellknown agents including Ben Collier, Shad Hassen, Matt Lahood and Brad Gillespie, former McGrath agents who now work for The Agency.

Another of the holders, Bethwyn Richards, works for McGrath, while Geoff Lucas is a former McGrath chief operating officer who has moved to artisan bakery group Sonoma.

It is understood private equity firms, institutions, activist shareholders including Matthew Donnellan, families and individual investors have expressed interest in the holding.

Investors are said to be attracted to the opportunity to acquire a strategic stake in an orderly process. The holding is the second-largest stake behind that of founder John McGrath, who owns nearly 27 per cent.

The block will come out of escrow tomorrow. McGrath shares fell 1.5¢ to 77¢ yesterday and are down 63 per cent since listing less than two years ago.

In a statement yesterday, the owners of the stake would act in a co-ordinated manner, and would not sell any of their shares without written consent of the owners of at least 75 per cent of the shares in question.

The owners agreed they would “act cooperatively with each other in their discussions with a view of maximising the price of any sale of shares”.