Picton Property Income Trust has terminated talks with Invista Foundation Property Trust about a potential takeover.
The listed trust has announced that it “has not been able to agree a proposal with the board of Invista Foundation that the Invista Foundation board was willing to recommend to Invista Foundation shareholders”.
It added: “In view of the inability to secure a recommendation of the proposed merger, and in accordance with Rule 2.8 of the Takeover Code, the board of Picton has decided to withdraw its offer proposal and will not be making an offer for Invista Foundation.”
Picton said it “invested significant time and resources into assessing a potential merger of the two businesses as it continues to believe that the strategic rationale and benefits of a combined group are compelling, a view endorsed by several key Invista Foundation shareholders”.
It added that it will continue to focus on its strategy, including internalisation and its refinancing initiatives, which the board of Picton is confident will deliver significant value to Picton shareholders.
The possibility of a takeover offer was first announced in August and the two parties had been engaged in “extensive talks” since that time.
The formal termination of talks ahead of today’s 5pm “put up or shut up” deadline means that Schroders is set to take over the management of the listed trust.
bridget.o’connell@estatesgazette.com
