The Bank of Lithuania has approved the voluntary takeover bid by the asset management group Invalda INVL to purchase shares of the real estate investment company INVL Baltic Real Estate.
Invalda INVL will offer to purchase 3,509,076 ordinary registered shares of AB INVL Baltic Real Estate, which represent 8.1% of the company’s capital, at EUR 0.35 per share. The total bid price may amount to EUR 1.228 million.
“We believe in the investment into the real estate managed by INVL Baltic Real Estate – real estate objects located in the capital cities of Lithuania and Latvia and their successful management ensure steady improvement of the company’s performance”, Darius Sulnis, president of INVL Invalda, said.
The takeover bid is announced in order to ensure the rights of the shareholders who voted against the application for a licence of the closed-end investment company for INVL Baltic Real Estate or did not vote at all at the Meeting of Shareholders of AB INVL Baltic Real Estate dated 28 October 2015.
The bid will be implemented on 20 November – 3 December through the NASDAQ Vilnius stock exchange. The shareholders, who did not vote for the application for a licence of the closed-end investment company for INVL Baltic Real Estate in order to transform it into a company similar to a fund, will be entitled to sell their shares at the time of the takeover bid.
Board of “INVL Baltic Real Estate” announced that it does not submit recommendations to owners of shares regarding the takeover bid since two of three members of the Board are the offerors of the bid.
At the beginning of next year, INVL Baltic Real Estate plans to issue and publicly offer shares with a value of EUR 10.071 million at a minimum price of EUR 0.35 per share. The shares will be available not only to professional investors, but also to small investors who wish to invest smaller sums.
Proceeds from the new issue will be used to finance the acquisition of 6,500 square metres of premises in the Vilnius Gates complex and to balance the debt-to-equity ratio of the company before it becomes a closed-end investment company. It is planned, that once the company changes its status, the company’s management will be transferred on the basis of a trust to the asset management company INVL Asset Management.
The issue will also be aimed at attracting investments in the company’s diversified real estate portfolio, which consists of about 58,200 square metres of commercial premises in Vilnius and Riga, including the premises at Vilnius Gates.
INVL Baltic Real Estate, which is listed on the NASDAQ Vilnius stock exchange, manages around 58,200 square metres of real estate in Vilnius and Riga.
For more information please contact:
Darius Sulnis
President of Invalda INVL
E-mail: [email protected]