This article is from the Australian Property Journal archive
INVESTA Listed Funds Management Limited (ILFML) has granted Cromwell access to due diligence after Cromwell lifted its offer from $2.73 billion to $2.978 billion.
IOF’s independent directors said they have formed the view that it is in the best interests of unitholders to progress both the platform JV and the Cromwell proposals. IOF has also commissioned an independent valuations of all of the trust’s 20 assets.
IOF said it is willing to provide due diligence to assist Cromwell to formulate a binding all-cash and fully-funded proposal.
But it does not include any exclusivity provisions, opening the door for other bidders including Dexus, which might formulate a new offer after its $2.5 billion bid was rejected last year.
IOF’s independent directors said they do not intend to grant exclusivity to Cromwell at this stage, nor seek standstill obligations, prior to forming a view on whether they would recommend the Cromwell proposal.
“This is particularly so when the identity and funding arrangements of the Cromwell proposal are unknown to the independent directors.
“The proposed offer price is non-binding and indicative only; and there is no certainty that a transaction with Cromwell will eventuate,” IOF said.
The Independent Directors look forward to continuing to engage with Cromwell and its equity investors, once known and will update the market should Cromwell agree to enter into the confidentiality deed.
Australian Property Journal
