Dutch listed retail property fund Vastned Retail is to give potential bidders access to its books to carry out a due diligence investigation. 'The board of management and the supervisory board feel that the interests of all the shareholders to realise the highest offer possible is best served by this course of action,' Vastned said in a statement on Monday.
Dutch listed retail property fund Vastned Retail is to give potential bidders access to its books to carry out a due diligence investigation. 'The board of management and the supervisory board feel that the interests of all the shareholders to realise the highest offer possible is best served by this course of action,' Vastned said in a statement on Monday.
Vastned said due diligence reviews by interested parties would be concluded no later than the first quarter of 2008. Vastned will then enter into discussions with one or more parties, 'which may result in one or more offers on the VastNed Retail shares'. Vastned Retail has appointed Kempen & Co as financial adviser and Stibbe as legal adviser.
The move is in response to a EUR 1.15 bn bid launched by IEF Capital, a joint venture of Bouwfonds Asset Management and Inflation Exchange Fund (IEF), earlier this month. The board of Vastned Retail dismissed the bid, which amounts to EUR 70 per share, as 'substantially below the true value of VastNed Retail shares'. IEF Capital was not deterred and said it planned to present the offer to all Vastned shareholders, including pension fund PGGM which holds 20% of the shares. PGGM indicated that it was not involved in IEF Capital's bid.
Vastned Retail has a portfolio of 570 properties in six countries which at end-2006 was valued at EUR 1.7 bn. Some 47% of the portfolio consists of inner-city shops, shopping centres account for 40%, retail warehouses 8% and the remaining 5% is listed as 'other'.
Vastned Offices/Industrial is a separate listed company and is not included in IEF Capital's bid.
