Former Macquarie Exec Robson Named Advisor for ESR Privatisation

A consortium leading the $7.1 billion privatisation of industrial developer and fund manager ESR has brought in some experienced leadership as it moves forward with its buyout of the Hong Kong-listed company.

The investor group, which is led by Starwood Capital Group, Sixth Street and SSW Partners has hired Brett Robson, former global head of real estate with Australia’s Macquarie Group to serve as senior advisor, according to an announcement early on Tuesday.

“In this role, Mr. Robson will guide the Consortium during the pre-closing and post-closing periods of the proposed privatisation of ESR and oversee execution of its strategic priorities and value creation initiatives,” the consortium said in the announcement.

The appointment, which took effect immediately, comes as the consortium, which also includes the Qatar Investment Authority, Warburg Pincus and ESR’s founders, prepares to finalise a buyout launched in December.

Experienced Leader

“Mr. Robson’s extensive experience in building and leading established asset management businesses supports the Consortium’s efforts to drive success for all ESR stakeholders,” the consortium said. “This appointment reinforces the strong strategic alignment among the Consortium and underscores its commitment to putting in place a best-in-class governance structure.”

Before leaving Macquarie in June last year, Robson spent more than 21 years at the Aussie firm, including serving most recently as global head of Macquarie Asset Management Real Estate. During his term at Macquarie, the 1990 graduate of the University of Western Australia also worked as head of the group’s global real estate investment banking business, among other roles.

After leaving Macquarie last year, Robson in August joined the board of Investa Management Holdings as a non-executive director and was elevated to chairman in December. Prior to Macquarie, Robson spent over 11 years at Lendlease working in fund management, asset management and development.

Buyout Moves Forward

In early December ESR and MegaBidco, an entity controlled by the consortium, made a binding offer to acquire all ESR shares that it did not yet own for HK$13 ($1.67) each.

That bid came more than six months after Starwood, Sixth Street and SSW first proposed the ESR buyout. With the partners then owning 39.9 percent of ESR’s total issued shares, they needed to receive acceptance from 75 percent of disinterested shareholders for the offer to succeed under Hong Kong privatisation rules.

With the consortium having won over more than 51 percent of disinterested shareholders at the time of December offer, ESR announced in early March that the bid had won support from just over 57 percent.

After ESR on 20 March warned of a $730 million 2024 loss, the company’s stock slipped and closed at HK$12.24 per share on Monday after the company’s annual results showed a $726 million shortfall.

Analysts familiar with the ESR buyout expressed confidence that the privatisation would succeed, with Robson expected to have an ongoing leadership role with the company following closing of the deal.