Sunland Group: Founder Soheil Abedian mounts surprise takeover bid of Gold Coast development giant

The battle for the future of delisted Gold Coast development giant Sunland has taken another twist, with three contenders fighting it out for control. INSIDE THE CORPORATE BATTLE

The battle for the future of delisted Gold Coast development giant Sunland has taken another twist, with Homecorp boss Ron Bakir re-entering the fray and outbidding company founder Soheil Abedian.

The bidding war to secure the company has intensified, just days after Mr Abedian mounted a surprise push to buy all remaining shares of the group that built the Q1 and Palazzo Versace.

Now Mr Bakir has sensationally submitted a bid of 7.25c per share, plus a dividend.

It trumps Mr Abedian’s bid of 7c. Mr Bakir declined to comment on Monday.

With three bids now in play, including one from Harvest Lane Asset Management, the future of the company will now come down to a decision in late September.

Soheil Abedian. Picture: Tertius Pickard

Mr Abedian, who remains Sunland’s majority shareholder, is now understood to be mulling his options while waiting for due diligence to be completed on the competing offers.

Sunland company secretary Grant Harrison said in a letter to shareholders that the Bakir proposal would be considered.

“Other than the increased offer price, the (Bakir) proposal is on materially the same terms as the proposal received from Abedian & Co Pty Ltd,” he wrote.

“The directors of Sunland are currently considering the (Bakir) proposal.

“For the avoidance of doubt, the directors note that the Sun Holdings Proposal is (as is the Abedian Proposal) subject to completing satisfactory confirmatory due diligence and execution into a binding scheme implementation agreement.

“Accordingly, there is no certainty that the Sun Holdings Proposal will proceed.”

It is the latest twist in the future of the company.

Ron Bakir Photo: Regi Varghese

Mr Bakir made an offer in early July to buy up all remaining shares of Sunland for 4.5c

A further bid was received in mid-August by Harvest Lane Asset Management, a Sydney-based investment firm, for 5c.

Homecorp exited the race, leaving Harvest Lane as the sole remaining bidder.

In early September, Mr Abedian, via his private Mermaid Beach-based Abedian and Co outfit, lodged his own offer of 7c. Prior to lodging his own bid, Mr Abedian told the board he would not support a Harvest Lane takeover. The company’s final share prices before its delisting in late 2023 was 73c.

Sunland, founded in 1983 by Mr Abedian and Foad Fathi, has been winding down since 2020. In November 2023, Soheil and Sahba Abedian both resigned following the delisting, severing the family’s 40-year directorship of the company. The elder Mr Abedian had been its chairman while his son was its long-serving managing director.

The Abedians’ positions were made redundant after the sale of its remaining assets and both resigned their board seats in the now-delisted company.

Chief financial officer Mr Harrison was appointed executive director to replace them.

The Abedians have since launched their own private development enterprises, which has more than $1.5bn of project on its books.

SHOCK TWIST IN TAKEOVER OF GOLD COAST DEVELOPMENT GIANT

The takeover of GC development giant Sunland Group has taken a shock twist, with its founder Soheil Abedian now in the box seat to take back the reins of the company he led for 40 years.

A bidding war has erupted to secure the company with three proposals having been put to the board to secure all remaining shares of the group that built the Q1 and Palazzo Versace.

Ron Bakir’s Homecorp made an offer in early July to buy up all remaining shares of Sunland for 4.5c each plus a dividend, which was unanimously backed by the board.

A further bid was received in mid-August by Harvest Lane Asset Management, a Sydney-based investment firm, for 5c.

Late last week, Homecorp exited the race, leaving Harvest Lane as the sole remaining bidder.

Now, the company founder, via his private Mermaid Beach-based Abedian and Co outfit, has lodged his own offer which is 40 per cent higher than that of the Luke Cummings-headed firm at 7c.

Prior to lodging his own bid, Mr Abedian, who remains Sunland’s biggest shareholder, told the board he would not support a Harvest Lane takeover.

If successful, Abedian and Co would have the rights to the Sunland brand and whether it was used on any of its properties.

The fate of the company, which delisted from the ASX last year, is expected to be known in late September following a 14-day due diligence period.

Mr Abedian, who retained his shares in the company after resigning in 2023, said in a letter to the Sunland board of directors he wanted to purchase all remaining shares for 7c on the dollar.

(Abedian and Co) believes that its indicative proposal provides full and fair value for (Sunland) shares, with 100 per cent cash consideration providing certainty of value and the ability for (Sunland) shareholders to monetise their investment before December 2029,” his letter reads.

“ (Abedian and Co) supports (Sunland’s) current executive director, Grant Harrison, and management, and intends to manage the operating strategy and costs in an effective and efficient manner while exploring opportunities to grow (Sunland), both organically and through future projects.

“ (Abedian and Co) considers it is particularly well-positioned to support the operations given the experience, expertise and track record of its director, Dr. Soheil Abedian, who was the founder of (Sunland) and acted as its former executive chairman.”

Sunland built the Q1.

Mr Abedian declined to comment on the move on Sunday.

The company’s final share prices before its delisting in late 2023 was 73c.

Sunland, founded in 1983 by Mr Abedian and Foad Fathi, has been winding down since 2020.

In November 2023, Soheil and Sahba Abedian both resigned following the delisting, severing the family’s 40-year directorship of the company.

The elder Mr Abedian had been its chairman while his son was its long-serving managing director.

The Abedian’s positions were made redundant after the sale of its remaining assets and both resigned their board seats in the now-delisted company.

Sunland built the now-former Palazzo Versace.

Chief financial officer Mr Harrison was appointed executive director to replace them.

However the pair immediately launched their own private development enterprises, which has more than $1.5bn of project on its books.

Soheil Abedian is building Peerless, a $255m, 36-storey resident tower in Mermaid Beach which will rise over the city’s most expensive mansions on Hedges Ave.

The project will have 109 units. The company also bought a site on Broadbeach’s Ann Street from fellow tower developer Jim Raptis for $12.1m.

Mr Raptis, who had approval to build a 35-storey tower on the site had previously spent $12.5m for the land. Abedian and Co is now designing a 38 storeys which will have 120 units.

Sahba Abedian’s Arium Group is redeveloping the Greenmount Beach resort site into a multi-tower project.