(Alliance News) - London-focused property investor Capital & Counties Properties PLC on Friday confirmed it is in talks to take a stake in real estate investment trust Shaftesbury PLC.
Capital & Counties said it is in discussions with the unnamed "selling shareholder" to pick up a 26% interest in fellow FTSE 250 constituent Shaftesbury, whose portfolio includes restaurants and pubs in London's West End district.
Shaftesbury closed 4.3% higher at 603.00 pence each in London on Thursday, giving it a market capitalisation of GBP1.85 billion. That puts the value of a 26% interest at GBP481 million.
Capital & Counties closed 3.8% higher at 159.30p in London, giving it a GBP1.36 billion market cap. It rose 6.2% to ZAR34.12 in Johannesburg.
"Capco notes recent press speculation and confirms that it is in discussions regarding the potential acquisition of a 26% shareholding in Shaftesbury PLC. There can be no certainty that these discussions will lead to any agreement between Capco and the selling shareholder. A further announcement will be made in due course, if appropriate," Capital & Counties said.
By Eric Cunha; ericcunha@alliancenews.com
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