Commonwealth Bank of Australia Ltd (CBA) plans to divest its 8.6% holding in Kiwi Income Property Trust after relinquishing the management contract for NZ$70.5 million (A$65.82 million). CBA is the largest lender by market value in the Tasman region, according to Business Spectator.

The Australia-based lender has sought the services of Goldman Sachs to sell down the said shares shares in a placement on Monday. The trading in the property investor has been halted to give way to the transaction, the report said.

The stake to be sold is worth around NZ$95.7 million based on its last trading price of $NZ1.10 per share, the report stated.

The investors of Kiwi gave a nod to the internalizing contract last week in an almost unanimous vote. The deal was funded through the internal debt facilities of the property trust. The said debt facilities increased by NZ$25 million to NZ$875 million, the report detailed.

In July, CBA floated the said internalization before deciding on a deal in November, Business Spectator reported.