GSW Immobilien said its board had noted the takeover offer of real estate group rival Deutsche Wohnen. Both are real estate companies operating in Germany. GSW Immobilien said it would evaluate the EUR 1.75 billion bid from Deutsche Wohnen after the official document has already been published. They would also give their comment about it then.
Earlier today, Deutsche Wohnen had offered 51 of its shares for every 20 GSW shares. The bid would enable the latter's investors to own 43% of the enlarged company. Deutsche Wohnen's EUR 1.75 billion offer represented a 15.4% premium of GSW's volume-weighted average share price in the past three months. The company planned to fund the acquisition of GSW through the issuance of 135 million new shares.
The new firm would focus on the Berlin real estate market. Deutsche Wohnen considered the area "one of the most dynamic growth regions in Germany." If the deal pushes through, it would be one of the biggest residential real estate transactions in the country.
Join the Conversation