Holowent launches EUR 114m bid for NR Nordic

Holowent, the investment vehicle of the Livingstone brothers, has made a EUR 114 mln takeover bid for NR Nordic & Russia Properties, a Euronext-listed real estate investor focusing on Russia, the Baltics and the Nordic region.

Holowent, which already holds a 24.6% stake in the company, has offered 24 euro cent in cash per share to acquire NR Nordic & Russia Properties, the owner of a portfolio worth some EUR 555 mln. The offer represents a 26% premium to the average closing price of the company shares before takeover speculation mounted in the market.

'Our cash offer represents a significant premium over NR Nordic's share price prior to our announcement that we were considering making an offer for the company. Since then, we believe that the NR Nordic Share Price has been inflated by speculation as to the level of our offer - which today's announcement has put to rest,' commented the two property moguls Ian and Richard Livingstone.

They added: 'NR Nordic Shares are extremely illiquid and we believe that our offer represents the only sure route to liquidity for NR Nordic shareholders who wish to sell their shares at a fair price.'

NR Nordic's Independent Directors 'are not giving a firm recommendation to shareholders on the offer'. Lazard is advising Holowent. Numis Securities is acting as financial adviser to the independent directors of NR Nordic.

The company's portfolio consists of 38 properties with 985,000 m² of floor area and an annual gross rental income of EUR 74.4 mln. Around 67% of NR Nordic's assets by value were held in Sweden and 21% in Russia.