UK-based commercial property investment firm Summit Germany has announced that it has completed the acquisition of a 76% controlling stake in Deutsche Real Estate. Reports in May suggested the company would be buying the stake at EUR 2.61 per share, valuing it at around EUR 40 mln, but this week’s announcement reveals that the acquisition was eventually completed at EUR 2.24 per share, for about EUR 34.9 mln. However Summit says the amount paid is after a deduction of EUR 5.9 mln as an estimated reimbursement by the sellers for certain tax consequences of Deutsche Real Estate.
UK-based commercial property investment firm Summit Germany has announced that it has completed the acquisition of a 76% controlling stake in Deutsche Real Estate. Reports in May suggested the company would be buying the stake at EUR 2.61 per share, valuing it at around EUR 40 mln, but this week’s announcement reveals that the acquisition was eventually completed at EUR 2.24 per share, for about EUR 34.9 mln. However Summit says the amount paid is after a deduction of EUR 5.9 mln as an estimated reimbursement by the sellers for certain tax consequences of Deutsche Real Estate.
Summit says the initial tender period for the takeover offer will close on September 5th. Should the offer be accepted in full, it says it will pay an additional amount of around EUR 16 mln for Deutsche Real Estate shares currently held by the public. Summit chairman John Lamb commented that the closing of the acquisition brings the value of their portfolio to about EUR 750 mln.
