(Bloomberg) -- Blackstone Group LP offered A$3.14 billion ($2.38 billion) for Investa Office Fund in an attempt to land one of Australia's most pursued property companies and dozens of office buildings across the country.
The New York-based buyout company offered A$5.25 in cash for each share of the real estate investment trust, 13 percent more than Friday's closing price, Investa said in a statement Monday. Investa's directors plan to unanimously recommend investors vote for the deal unless there's a better offer.
Investa shares jumped 11 percent to A$5.13 as of 11:41 a.m. in Sydney.
For more details on the deal, click here
The acquisition would deliver Blackstone, which has $450 billion in assets under management, some 37 properties stretching from Perth on Australia's west coast to Sydney and the eastern seaboard, according to Investa's website.
Investa has attracted suitors since at least 2015, when Dexus Property Group proposed a deal valued at about A$2.5 billion, a tie-up that was subsequently rejected by unit-holders. Cromwell Property Group made separate approaches in 2016 and 2017.
According to Investa's statement, Blackstone made an initial offer of A$5.05 per share on April 5, then sweetened the bid this month after “extensive discussions and negotiations.” The private equity firm has already started due diligence, Investa said.
--With assistance from Matthew Burgess.
To contact the reporter on this story: Angus Whitley in Sydney at awhitley1@bloomberg.net
To contact the editors responsible for this story: James Thornhill at jthornhill3@bloomberg.net, Peter Vercoe
©2018 Bloomberg L.P.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
