By a staff reporter, with AAP
Regional lender Suncorp-Metway Ltd says it is in exclusive discussions with US-based private equity player L. Janusz Hooker to sell its real estate business, Hooker Corporation Ltd.
In a statement to the Australian Securities Exchange (ASX), Suncorp said the discussions with Mr Hooker – who is the grandson of LJ Hooker’s founder – were incomplete and said there was “no certainty a transaction will eventuate”.
Suncorp said it would update the market on the proposed deal as appropriate.
According to a report in The Australian newspaper, Mr Hooker is negotiating to buy the real estate business for $67 million.
In 2008/09, the Hooker business generated an operating profit of about $8 million, down from $14 million in the previous year.
Mr Hooker, 39, is the grandson of founder Leslie Joseph Hooker who set up the first LJ Hooker office in Maroubra, Sydney, in 1928.
The business expanded strongly and in 1947 was floated on the Australian stock exchange.
Mr Hooker senior was knighted in 1973 for his service to business and commerce.
He retired as chairman in 1974 but remained on the board until his death in 1976.
In 1989, the company was acquired by Suncorp.
Suncorp shares improved 0.60 per cent to close at $8.30, against a 0.69 per cent easing in the benchmark index.
