Dexus says it has entered into a binding acquisition deal with APN Property Group for $320 million.

Under the deal, Dexus would acquire all of the stapled securities in APN for an all-cash consideration of 91.5 cents per security.

The latest acquisition would boost Dexus funds management portfolio to $23.9 billion, which included institutional wholesale capital, listed REITs, real estate securities and a direct unlisted property business.

Dexus chief executive Darren Steinberg, pictured, said the transaction would expand the ASX-listed property group's investor network to include retail and high-net-worth capital.

“This transaction supports our strategic initiative of expanding and diversifying our funds management business, increasing our suite of funds on offer outside of wholesale funds into listed REITs, real estate securities funds, and unlisted direct property funds,” he said.

“We believe APN is a high-quality real estate funds management business that complements our existing platform, and we look forward to APN’s executives joining and strengthening the Dexus team while continuing to deliver strong results for investors.”

APN chairman Chris Aylward is the largest shareholder and said the Dexus proposal offered “compelling value” to APN shareholders.

“We believe the combination of the two platforms will provide incremental growth opportunities for the APN business as well as its underlying funds, investors and team members,” he said.

Dexus’ rationale for the acquisition included access to a complementary and scalable business, new growth opportunities, and an ability to drive growth and performance within APN.

The proposed acquisition will be subject to approval by APN securityholders and other conditions which included obtaining court approval and judicial advice.

APN shareholders will vote on the proposed acquisition in mid-July.