Italian real estate company Beni Stabili reported on Friday that its first-quarter profit fell by 30% due to higher expenses and taxes. Net income dropped to EUR 7 mln from EUR 10 mln a year earlier. The announcement coincided with the news that Beni Stabili shareholders have approved Fonciere des Regions' acquisition of a 35% stake in Beni Stabili. The French company is to launch a mandatory exchange offer for all of Beni Stabili's shares on 1 May 2007. The takeover has yet to be sanctioned by the Italian competition authority.
Italian real estate company Beni Stabili reported on Friday that its first-quarter profit fell by 30% due to higher expenses and taxes. Net income dropped to EUR 7 mln from EUR 10 mln a year earlier. The announcement coincided with the news that Beni Stabili shareholders have approved Fonciere des Regions' acquisition of a 35% stake in Beni Stabili. The French company is to launch a mandatory exchange offer for all of Beni Stabili's shares on 1 May 2007. The takeover has yet to be sanctioned by the Italian competition authority.
Fonciere des Regions, chaired by Christophe Kullmann, is planning to retain a 51% stake in Beni Stabili when the Italian company is converted into a SIIQ, the Italian equivalent of a real estate investment trust (REITs), 'in order to benefit from the new tax regulation and the new opportunities expected to arise from the introduction of the tax-efficient vehicle’.
