AIM-listed Ciref has approached the larger Glanmore Property Fund (Glanmore) about a potential takeover offer.
AIM-listed Ciref has approached the larger Glanmore Property Fund (Glanmore) about a potential takeover offer.
Glanmore is a Guernsey domiciled, Irish Stock Exchange-listed open ended investment company with EUR 1.2 bn of real estate assets.
Cerif is a Jersey-registered closed-end investor-developer. At wend-March this year, the company had portfolio consisted of 27 investments located within the UK, Switzerland, Germany, the Channel Islands and the British Virgin Islands. The total value of the portfolio was about £170 mln.
Under the proposed acquisition, Ciref would offer Glanmore shareholders the opportunity to exchange Glanmore shares for Ciref ordinary shares and to subscribe for new Ciref convertible preference shares. This would be an alternative to the placing and open offer currently proposed to shareholders by Glanmore, which closes on 29 July 2009.
Ciref said the proposed acquisition represented an opportunity for Ciref's shareholders to become part of a significantly larger entity with a more diversified portfolio.
Glanmore has a current gross asset value of £875.4 mln (EUR 1.2 bn) and a net asset value of £210.5 mln. In the year ended 31 December 2008, Glanmore reported a loss before tax of £260.4 mln.
Ciref said it is seeking to engage the board of Glanmore in discussions and to undertake certain due diligence prior to making any firm offer.
