This article is from the Australian Property Journal archive
OXFORD Properties, part of the C$100 billion Canadian pension fund OMERS, has made a surprise takeover play for Investa Office Fund, looking to thwart US giant Blackstone’s $3.26 billion bid for the trust just days before shareholders were set to vote on the proposal.
Having to this point played a supporting role in the saga, Oxford’s cash bid comes in at $5.50 per unit, less any distributions declared or paid following yesterday’s revelations, while Blackstone had sweetened its own bid from $5.25 per unit to $5.45 per unit, which would effectively become $5.35 per unit once IOF’s second-half distribution is factored in.
Blackstone’s most recent offer came after Investa Commercial Property Fund planned to vote against the proposal with its 19.99% stake and on-sell around half of those shares to Oxford should the Blackstone bid be rejected. Blackstone’s takeover attempt was set to be quashed by ICPF’s rejection, with 75% approval required from shareholders for it to go ahead.
However, once the muscled-up offer was put forward, ICPF was set to vote in favour of the proposal.
Investa Listed Funds Management Limited yesterday said its directors continue to unanimously recommend to the Blackstone proposal in the absence of a superior proposal, but is still considering the Oxford proposal.
Investa had sought to adjourn the IOF shareholder meeting set initially set for August 29, at which the proposal would be voted on. ILFML had supported Blackstone’s bid.
ICPF had sought to avoid legal concerns over its eligibility to vote, offloading a 50% stake in IOF’s property manager to the property arm of Macquarie Capital last week.
Australian Property Journal
