Warehouse REIT set to recommend Blackstone takeover

The board of Warehouse REIT said it is “minded to recommend” a £489m takeover offer from Blackstone to its shareholders. Blackstone’s most recent and final proposal of 115 pence per share would value the target at a premium of 39.6% to the closing price of 82.4p the day before the offer period began and an increase of 4.1% to the firm’s previous possible offer. “The Warehouse REIT board has indicated to Blackstone that, should a firm offer be made on the financial terms set out… it would be minded to recommend such an offer to Warehouse REIT shareholders, subject to the agreement of the other terms of the offer,” the target said in a stock exchange update. “Accordingly, the board has decided to engage in discussions with Blackstone in relation to these terms and to allow Blackstone to complete a limited period of confirmatory due diligence.” Blackstone had earlier said: “Blackstone believes the final indicative proposal provides a highly deliverable and compelling alternative to shareholders, attributing a full valuation for the company and its future prospects.”