2nd Apr 2019 14:14
LONDON (Alliance News) - Thalassa Holdings Ltd on Tuesday said it has voted against a proposal to liquidate Local Shipping REIT PLC and once again called for the real estate investment trust's shareholders to accept its hostile takeover offer.
Thalassa's current stake in Local Shopping REIT is 25.5%, which has been voted against the wind up motion to be tabled at a general meeting on Friday.
Thalassa is offering 14.64 pence in cash and 0.26 Thalassa shares per Local Shopping REIT share, with the offer open until Wednesday next week. The offer equates to around GBP9 million in cash and up to 16.0 million Thalassa consideration shares.
Local Shopping REIT has said it plans on returning cash while it tries to wind down the company. The trust sought approval for members' voluntary liquidation at the end of 2018, but could not do so because of Thalassa's opposition.
Thalassa reiterated that its takeover offer is a "deliverable and certain exit" for Local Shopping REIT shareholders. Thalassa also claims that it has received advice that there is only a remote chance of a court making a wind up order in Local Shopping REIT's case.
"The [Local Shopping REIT] board has sought to make, in the opinion of the Thalassa board, misleading representations with regards to the viability of its proposal and to portray it as a positive binary alternative to the offer, which it is not. As previously stated, the Thalassa board reserves the right, if necessary, to take legal action to oppose any petitions made by the [Local Shopping REIT] board with regard to its proposal," said Thalassa.
Shares in Thalassa were untraded at 81.00p on Tuesday. Local Shopping REIT shares were down 0.4% at 28.20p.
Related Shares:
Thalassa (di)LSR.L