trending Market Intelligence /marketintelligence/en/news-insights/trending/RotFjb4aYJzwvQdDMKZhrQ2 content esgSubNav
In This List

GPT Metro discloses withdrawn takeover offer, conducts property revaluations


Deep Market Intelligence Helps a Credit Union Craft a Successful Expansion Plan


Global M&A By the Numbers: Q1 2022


Data Stories: Data insights to help alleviate business complexity amid geopolitical risks


M&A, IPOs hit a speed bump in early 2022

GPT Metro discloses withdrawn takeover offer, conducts property revaluations

avoided apotential takeover after an undisclosed bidder withdrew an unsolicited proposal.

Thecompany said April 4 that it received an "unsolicited, confidential,highly conditional and non-binding" offer for the acquisition of thelisted fund's entire units.

The Australian FinancialReviewreported April 5 that AbacusProperty Group, GrowthpointProperties Australia and fund manager emerged as the likelybidders for the fund.

GPTGroup owns the largest number of shares in the fund with 15,899,750 shares, ora 12.37% stake, according to SNLdata. Meanwhile, Growthpoint Properties Managing Director Tim Collyer hadflagged the company's willingness to the possibility of the company beinginvolved in mergers and acquisitions given the "right opportunity,"as previously reported.

Theunsolicited bid led GPT Metro to conduct an independent revaluation of itsproperty portfolio as of March 31, according to the release.

Thefund's portfolio of six properties reached an independent valuation of A$439.3million as of March 31, up 6.4% compared with A$412.9 million as at Dec. 31,2015. The company said it took note of "transaction evidence" fromrecent metropolitan office building sales in conducting the independentrevaluations.

Thesix office properties in GPT Metro's portfolio are ,Murray Rose Avenue 5,Quad 2 andQuad 3 inSydney, Optus Centrein Queensland and Vantagein Victoria.

Thecompany attributed the increase in property values, which amounted to A$26.4million, to income growth and tightening in capitalization rates.

Consequently,the revaluated properties are expected to enhance the value of GPT Metro's nettangible assets by around 20 Australian cents per unit. As a result, its proforma NTA would increase to A$2.35 per unit compared to the NTA of A$2.15 perunit as of Dec. 31, 2015. The company's pro forma net gearing is also expectedto reach approximately 26.6% from 28.3% as of the same day.

As of April 4, US$1 wasequivalent to A$1.31.