Property developer Stockland has made $80 million in just five months from its strategic stake in fellow developer Australand.
Stockland paid $435 million for a 19.9 per cent stake in Australand in March, and went on to make a bid for control of Australand.
But that bid was beaten by a higher offer from Singapore real estate firm Frasers Centrepoint, which took control of Australand in early August.
Stockland has now sold its Australand stake to Frasers Centrepoint, for a higher price than what it bought the stake, and with a distribution.
The company said it realised a capital profit of about $80 million on the transaction.
Chief executive Mark Steinert said the profit would be invested in the company’s expansion into medium density residential and mixed use developments, and the growth of its logistics and business parks operations.
Stockland shares finished four cents higher at $4.14 while Australand’s shares were flat at $4.48.