Local Shopping REIT said it will shortly announce a new investment policy with a view to growing the business after years of gradually selling off its portfolio.
The company’s former investment policy was to dispose of its assets in order to repay debt and return any surplus value to shareholders.
The company last year fended off a hostile takeover bid from London-listed Thalassa. Instead of selling the business, the company bought shares back from investors, leaving Thalassa with a 93% stake.
Thalassa has since installed fresh directors and now intends to rebuild the company’s property portfolio instead of following the previous board’s strategy of winding up the trust.
The company has just eight assets left in the portfolio worth about £3.5m, down from 75 assets worth £22.3m a year ago.
Details regarding the future investment strategy have not yet been revealed.
The company said: “Your board aims to regrow the company’s asset base and, in pursuit of this, will shortly propose a new investment policy, aimed at growing the business, for the approval of the company’s members.”
LSR : Local Shopping REIT plans to regrow business