L&S and Metric announce merger plans
Two property investment firms have unveiled plans to merge.
UK property firms London & Stanford (L&S) are set to take over Metric Property Investments in a merger, the two have announced.
The deal would involve L&S taking over 75 per cent of Metric, should the offer valuing the smaller firm at 0.94 L&S shares per Metric share be accepted.
As a result of the sales negotiations, the point has been reached where the plan can be announced and a final decision on whether L&S will go ahead with the transaction is due to be taken by no later than December 4th.
Speaking to Reuters, Investec analyst Alan Carter said the merger had been prompted by an excessive number of firms in a market that currently needs to consolidate.
He remarked: "There should be more mergers between the smaller companies but it is always easier said than done."
The situation may be different for larger property investment firms, who might find a number of opportunities for acquisitions in the current market.
Earlier this week, Bruntwood, a property firm based in the north of England, revealed plans to make a number of purchases in Leeds to the Business Desk.