Shares in Tritax Eurobox shot up after Brookfield Asset Management confirmed its interest in bidding for the pan-European logistics REIT.
In a London stock exchange announcement late on Monday afternoon, Brookfield said it was in the early stage 'of assessing a possible cash offer'. Under Takeover Panel rules, the Canadian giant has until 1 July to announce an offer or not. Citigroup is advising Brookfield.
Tritax Eurobox's share price has traded at a steep discount to NAV since interest rates began to rise in 2022 and it has been selling assets to reduce gearing.
On news of Brookfield's interest, the logistic REIT's shares jumped 11% to 59.9p and then rose a further 3% to 61.7p. Its shares peaked back in August 2021, at 124p.
It is the latest in a string of REITs to be the target of takeover activity or agree to a merger this year.
Brookfield has just refinanced an existing portfolio of 17 big box European logistics which it owns, with LaSalle Investment Management which wrote a €150 mln loan facility. The six completed and 11 to be completed projects are in Germany, Poland, Sweden and Spain.
