UCP ponders £1112m takeover approach

Mike Phillips 30/07/2010 14:15

Unitech Corporate Parks, the AIM-listed Indian technology park owner, this week received an initial £112m takeover offer.

The offer of 31p a share came from Unitech, the Indian property company that created UCP and owns a 5% stake in the company.

The offer, revealed on Tuesday, represents a 23% premium to UCP’s Monday closing share price of 25p.

“The board of directors of Unitech believes that this ­possible offer would provide an attractive opportunity for UCP shareholders to realise their investment in what is currently a relatively illiquid stock, in cash, at a premium to current trading levels,” said Unitech.

UCP is one of a raft of AIM-listed overseas property funds that are in takeover talks after struggling to improve their share price performance.

The company raised £360m through an initial public offering when it floated in December 2006.

If the deal, which has not been approved by the UCP board, goes ahead, it will be undertaken via a scheme of arrangement.

michael.phillips@estatesgazette.com