GLOBAL - The Indian subsidiary of Palmer Capital Partners is to acquire Invista Real Estate Investment Management, paying nearly £40m (€50m) for all issued company shares with the backing of the Townsend Group.
The offer, valuing individual shares at nearly £0.15, will see Palmer take over the Invista Real Estate Opportunity fund, as well as the International Fund counterpart, with total assets under management at the end of last year of £750m.
As part of the acquisition, Palmer Capital will provide the cash element of the transaction, with Townsend Group providing loan facilities for the remainder of the sum, resulting in Townsend clients owning interests in both Invista funds.
The transaction is expected to finalise by the second quarter of the year.
Internos was previously considering buying Invista, with reports at the end of May saying an agreement had been reached.
However, in a statement, Palmer Capital said: “The board of Invista have unanimously recommended that Invista shareholders vote in favour of the offer and that the court meetings currently scheduled in relation to the Internos offer be adjourned.”
Internos was previously considering the acquisition after it bought out the Invista European Real Estate Trust.
It announced last month that it would begin to sell off the 39-asset portfolio.
Palmer chief executive Alex Price added: “This will be a major acquisition that will help us grow our team and bring us further assets under management in the UK, Europe and Asia.
“We are really excited by the prospect created by a combined business.”
The company most recently completed a deal to buy Middle Europe Investment, absorbing all but one of the Dutch company’s offices, with Palmer managing director Guy Barker at the time saying the company would soon look to rectify a “glaring omission” and expand into the Polish market before the end of 2013.