Picton Property Income has confirmed interest from LondonMetric in relation to the company’s strategic review and formal sale process.
Last month, Picton announced it was launching a strategic review that could see the firm sold or merged with another REIT.
In a statement, the REIT’s board said its shares had continued to trade at a “material discount” to its EPRA net tangible assets and as a result its ability to raise new equity had been constrained. With the company in a “strong operational and financial position” the board said it had decided to be “proactive” and initiated the strategic review to “explore all options available to maximise value for shareholders”.
As part of the strategic review, the board said it would consider options for a merger with other UK REITs, alongside other forms of consolidation, combination, or a sale of the business.
Responding to press speculation, earlier today the board of Picton confirmed LondonMetric’s interest, but said the REIT had not made an offer and “there can be no certainty that an offer will be made nor to the terms of any offer if made”.
The statement continued: “The company looks forward to progressing discussions with all interested parties and will update the market as and when appropriate.”
