Qube moves to complete ownership of Moorebank project amid Aurizon divestment

Aurizon has signed binding contracts to divest Aurizon’s 33 per cent equity holding in the proposed Moorebank Intermodal Terminal for $98.9 million.

The contract signing came as Qube entered an agreement with Aurizon to acquire all of the company’s interest in the Moorebank project.

The acquisition includes Aurizon’s 33 per cent interest in the Moorebank Industrial Property Trust (MIPT), which owns the 83ha freehold land at Moorebank, as well as Aurizon’s interests in development of the rail terminals and associated warehousing under the 99 year lease agreements across the entire 243ha Moorebank precinct.

According to Qube’s Managing Director Maurice James, the transaction would bring Qube’s ownership of MIPT and the Moorebank project to 100 per cent.

“We are delighted to be able to secure full ownership and control over such an important project and maximise flexibility for Qube in terms of funding and partering options for warehouse development”.

Qube is reviewing a number of options to provide additional medium term funding to support the development of the rail terminals and enabling infrastructure at Moorebank and other growth initiatives.

Qube is continuing to work with MIC in relation to its requirements for the transaction with Aurizon and to achieve financial close on the Moorebank project with close expected to occur by late August 2016. The transaction with Aurizon is planned to complete around the same time as financial close.

Qube said it would fund the deal with debt. It’s separately reviewing options for additional medium-term funding for the development of rail terminals at Moorebank and other infrastructure.

In a statement, Aurizon said the deal won’t affect its ability to access the Moorebank facilities in future.