Investment trust insider on industrial property prices
James Carthew: has Tritax paid too much as Hansteen hands back cash?
In the past week we have seen a very large tender offer from Hansteen Holdings (HSTN), a real estate investment trust specialising in industrial property, and a deal where Tritax Big Box (BBOX) bought a large logistics facility from LondonMetric Property (LMP).
Hansteen has announced a £580 million tender offer for its shares, equivalent to half of its issued share capital. The tender offer price is 140p per share, a premium to the 133p net asset value at the end of June 2017 and a small premium to the prevailing share price before the announcement of the tender offer. Buying back shares at a premium is dilutive for ongoing shareholders.
The tender offer is being funded from the sale proceeds of Hansteen’s portfolio of German and Dutch property portfolio…. read more here