After 18 months of portfolio disposals, Paris-based Société de la Tour Eiffel (STE) is kicking off its new acquisition strategy with the purchase of an office building in the southern inner rim of Paris.

After 18 months of portfolio disposals, Paris-based Société de la Tour Eiffel (STE) is kicking off its new acquisition strategy with the purchase of an office building in the southern inner rim of Paris.

STE, which has carried out over €260 mln of non-core disposals in the past two years, said it has now signed an agreement to buy an 8,300 m2 building in Paris for €23.3 mln.

This building carries a 12-year lease and generates an annual income of around €2 mln.

STE currently has a €701 mln portfolio of 393,360 m2, some 65% of which comprises Paris offices. The company is the target of a takeover offer by mutual insurer SMABTP, which has been wresting for control of the business with an existing shareholder for the past few months.

SMABTP is offering €58 a share, which values the group at €363 mln. The offer ends on August 6.

SMABTP is the leading insurance group in France for the construction and public works sector.