Rural Funds Group to Sell Five Assets for Nearly AU$256 Million

MT Newswires Live
Jul 10

Rural Funds Group (ASX:RFF) signed contracts for the sale of five assets for an aggregate AU$255.6 million, representing an average premium of nearly 23% to book values as of the end of 2025, according to a Friday filing with the Australian bourse.

The assets include the four cattle properties of Rewan, Cobungra, Wyseby, and Cerberus, as well as certain river water entitlements in New South Wales, per the filing.

The sales are in line with the company's strategy to reduce gearing to within a target range of 30% to 35%. Following the expected settlement in the first half of 2027, the deals are expected to provide a net benefit to adjusted funds from operations (AFFO).

Additionally, the sales also satisfy a condition precedent to increase a guarantee to J&F Australia to AU$200 million from AU$160 million, the company said.

Rural Funds Group reaffirmed its fiscal 2026 AFFO forecast of AU$0.117 per unit.

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