AUSTRALIAN UNITY LIMITED — Capital/Financing Update 2021

Jun 8, 2021

==> picture [528 x 73] intentionally omitted <==

ASX Announcement

9 June 2021

Australian Unity a cornerstone investor in Australian Unity Healthcare Property Trust capital raising

Australian Unity Strategic Holdings Pty Ltd (AUSH), a direct whollyowned subsidiary of Australian Unity Limited (AUL), has today committed to an investment of up to $100 million in a range of measures announced by Australian Unity Funds Management Limited (AUFM), as the responsible entity of the Australian Unity Healthcare Property Trust (AUHPT).

AUHPT to raise up to $320 million in equity via:

• an approximate $120 million entitlement offer of AUHPT Wholesale Units to existing unitholders;

• $180 million placement to Dexus at $2.60 per unit, an approximately 16 per cent premium to the current net asset value per AUHPT Wholesale Unit; and

• a $20 million placement to AUSH at $2.60 per unit, also at an approximate 16 per cent premium to the current net asset value per AUHPT Wholesale Unit (Australian Unity Placement).

ASX code: AYU

Securities on Issue: AYUPA – 1,200,000 AYUHC – 1,150,192 AYUHD – 2,070,000

Issuer: Australian Unity Limited ACN 087 648 888

Enquiries: Australian Unity Registry 1300 554 474

Contact details: Australian Unity Limited 271 Spring Street Melbourne VIC 3000 Tel: 13 29 39

The listing of Australian Unity Securities on the ASX does not affect Australian Unity Limited’s status as a mutual organisation

In addition to the Australian Unity Placement, AUSH will make a Premium Cash Offer (PCO) to purchase units from existing investors in AUHPT at a price summarised in the following table:

==> picture [311 x 115] intentionally omitted <==

1 The mid-price is the unit price calculated under AUHPT’s constitution before the buy spread or sell spread is applied.

Under the terms of the PCO, AUSH retains the discretion to buy a greater or lesser amount of each unit class, provided that the total value of units acquired will not exceed $80 million. If applications for units under the PCO exceed a value of $80 million, or applications for units in a class exceed the number of units which AUSH has determined to be its limit for acquisition of units in that class, applications will be subject to scale back. Details of the scale back and other details of the offer will be provided directly to unit holders of HPT and are available on our website at australianunity.com.au/pco.

The PCO provides existing unitholders of AUHPT that are seeking liquidity an opportunity to realise their investment at a premium to the current unit price. The PCO offer will open on 9 June 2021 and is expected to close on 12 July 2021.

Following the $20 million Placement, and assuming the full take up of the $80 million PCO, Australian Unity’s interest in AUHPT (directly and through Australian Unity controlled entities) may increase to approximately 5.02 per cent. AUHPT primarily invests in a diversified portfolio of healthcare property and related assets including direct property, unlisted managed funds, listed REITs, property syndicates or companies that mainly hold healthcare property.

Further information in relation to AUHPT’s equity raising can be found here: https://www.australianunity.com.au/wealth/investmentoptions/property/healthcare

Australian Unity Chair, Mr Peter Promnitz, said:

“Since Australian Unity established the Healthcare Property Trust in 1999, it has grown to become a leading portfolio of healthcare property with assets under management of more than $2.6 billion”.

“Importantly, it is delivering social infrastructure that has community and social value for Australia”.

“These investments reflect the Australian Unity Group’s commitment to the trust’s ongoing growth on behalf of its unit holders, our members and the broader Australian community and our belief in the significant opportunity for multi-year value development by this trust.”

AUL has committed debt-funding of up to $100 million to support AUSH participating in the cornerstone offer and undertaking the PCO. AUL may consider capital market opportunities to replace or augment the procured debt-funding.

-end-

This announcement has been authorised for distribution to the ASX by:

Melinda Honig

General Counsel and Company Secretary

T: +61 3 8682 6819

If securityholders or other interested parties have further information please contact:

Michael Moore

General Manager – Public Affairs & Communications

T: 1300 408 776

E: media@australianunity.com.au