Takeover creates £1.6bn company

THE owner of a large Yorkshire retail park is taking over a rival property company to create Britain's sixth-largest listed property company, worth about £1.6bn.
By The Newsroom
Published 10th Jun 2010, 13:09 BST
Updated 10th Jun 2010, 13:09 BST

The UK Commercial Property Trust (UKCPT), which bought Junction 27 Retail Park, in Leeds, from Henderson Global Investors for 56.6m earlier this year, is acquiring F&C Commercial Property Trust (FCTP).

It follows the sale, in April, of a 16.5 per cent stake in FCPT to the Phoenix Group, the parent company of UKCPT manager Ignis Asset Management, from key FCTP shareholder Friends Provident.

Hide Ad
Hide Ad

Friends Provident and Phoenix, which have a combined 50.3 per cent stake in FCPT, agreed on the sale, which is still subject to approval from the shareholders of the two trusts.

Ignis has been appointed to manage the enlarged trust.

Gary Hutcheson, investment director (property) at Ignis, said the trust's property portfolios were an "excellent strategic fit".

"They both bring something to the party. UKCPT has longer lease lengths and a better income and covenant profile, while FCPT brings better London and south-eastern exposure and better potential for short-term performance.

"The increased market capitalisation brings both trusts into new territory."

Related topics:YorkshireBritainPhoenix GroupLeeds