GCP Student Living PLC - company which invests in student accommodation - UK Competition & Markets Authority reveals it has got its eye on company's takeover.
GCP agreed to a GBP969 million takeover back in July from a consortium which includes student accommodation provider Scape Living and also iQSA Holdco. Scape is funded by funds managed by APG, an investor in GCP, and iQSA by funds advised by Blackstone.
The regulator said it is mulling whether the deal will lessen competition, and has until December 13 to decide whether to progress the probe or not.
Separately, GCP reports EPRA net tangible asset per share ends June 30 at 195.05 pence, up sharply from 171.78p at the same point the year before.
Declares annual dividend of 0.75p, slumping from 6.15p the year before.
Property portfolio value rises to GBP1.14 billion from GBP1.00 billion.
Chair David Hunter says: "Through its strategic focus on providing high-quality student accommodation primarily in and around London, the company has delivered exceptional returns to shareholders since its IPO in 2013."
Annual NAV total return 15.0%, and notes NAV return 13.1% since IPO.
"The year under review has been dominated by the Covid-19 pandemic, with the UK's departure from the EU adding to wider market uncertainty. Notwithstanding the resultant operational challenges faced by the company during the year, the focus on assets in and around London has delivered strong NAV performance. This has been driven by valuation uplifts underpinned by strong institutional demand for private student residential accommodation assets in the company's core market, as evidenced by the approach to acquire the company which was received post year end," Hunter adds.
Current stock price: 211.50 pence
Year-to-date change: up 48%
By Paul McGowan; paulmcgowan@alliancenews.com
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