Carey Olsen claims a positive 2023, so far

Thursday 17 August 2023

Carey Olsen said it has seen an increase in its public takeover activity in the first half of 2023, with the recent completion of two takeovers of Guernsey-incorporated real estate investment trusts (REITs).

Both transactions were conducted by way of a Court-approved scheme of arrangement, with Carey Olsen saying this continues its track record of being instructed on the majority of such transactions in Guernsey.

First, Carey Olsen acted for its long-standing client Industrials REIT Limited, in a deal valued at £511.2 million.

Next, Carey Olsen acted for LondonMetric Property Plc, a FTSE 250 UK REIT, in a deal worth approximately £198.6 million.

Corporate Partner Tony Lane (pictured top) led a team which acted on both transactions, assisted by Senior Associate James Cooke, and with the Court application and submissions being undertaken by Partner Tim Corfield and Counsel Tim Bamford. UK Counsel for Industrials REIT was Bryan Cave Leighton Paisner, and for LondonMetric was CMS Cameron McKenna Nabarro Olswang.

"The combination of the inflationary environment and higher interest rates has proved challenging for all listed property vehicles, but these two transactions demonstrate that these conditions also create opportunities for buyers able to base a strategy around the long term fundamentals of the underlying portfolio," said Mr Lane.

"Whilst these transactions have many similarities, they also take markedly different routes forward, with Industrials REIT being taken private by Blackstone in the belief that its full potential can be best achieved as a private company, whilst CTPT has been combined with another similar listed REIT to take advantage of synergies and improve shareholder earnings."