Simon, who led two small village operators to being listed in the ASX and took Ingenia Communities from an unloved basket case to a thriving $1.65 billion sector leader, today said he has returned to the sector "sooner than I expected".
Eureka Group Holdings told the ASX this morning that Simon has been appointed Chief Executive Officer from 12 September 2024. Eureka has been without a CEO since Cameron Taylor, who was appointed Sundale CEO in May 2024, resigned in July 2023.
Simon, who was CEO of Ingenia for 14 years, drove the creation of a leading portfolio of land lease communities, rental retirement communities and holidays parks, and saw Ingenia's market capitalisation grow from $30 million to $1.7 billion during his leadership.
"There are many attributes of Eureka which remind me of the early days at my last role with the ING Community Living Fund / Ingenia. Eureka’s market cap is approximately $165 million whereas Ingenia (where I remain a large and supportive shareholder) now exceeds $2 billion,” he said on his LinkedIn page.
"I have also agreed to make a substantial investment personally into Eureka which will hopefully further demonstrate the resolve and commitment that I will be bringing to the Group."
He said three key attractions led him to accepting the helm, at Eureka.
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the opportunity to work with a great Board and team many of whom I already know;
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the solid existing business platform and the tremendous opportunity for growth; and
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its focus on providing a great sense of community and support for a critical component of Australia’s ageing population – many of whom don’t have a lot of housing options.
"In Australia some 14% people over the age of 65 are renters and this continues to grow strongly every year. Yet unlike more traditional retirement and lifestyle communities the seniors rental sector attracts almost no institutional capital,” Simon said.
"The sector tailwinds are compelling – strong and increasing demand, rental flows supported by government pension and rent assistance payments, significantly constrained new supply coming online, limited capital formation in the sector and few competitors."
Eureka Executive Chairman Murray Boyte said Simon has agreed to self-fund with cash a $1.5 million share placement, which will be conducted at an issue price of $0.5222 (the 5-day volume weight average price of Eureka shares as at 14 August).
"The placement of 2,872,462 shares to Mr Owen will be conducted using the Company's placement capacity under ASX Lising rule 7.1 without shareholder approval.” said Murray, who will become Non-Executive Chairman from 12 September 2024.
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