* No guarantee a transaction will take place
* Talks failed in February over price
* VastNed Offices shares up 4.8 pct, NSI up 0.3 pct
(Adds company comment, background, shares)
AMSTERDAM, April 15 Dutch property groups
VastNed Offices/Industrial VWNN.AS and Nieuwe Steen
Investments (NSTEc.AS) are having another shot at merger talks.
Negotiations to form a group with a combined 2.3 billion
euros of property assets failed in February due to disagreement
over price, leaving them mulling their strategy in a domestic
market suffering from oversupply. [ID:nLDE71D06N]
A bid from NSI, which in December offered 0.85 NSI shares
for each VastNed Offices/Industrial (VNOI) share, would have
helped the companies create economies of scale and cope with the
overcrowded Dutch market.
"There can be no certainty that these discussions will
result in a transaction," both groups said in separate
statements on Friday.
VNOI shares extended gains after the news, trading up 4.8
percent at 12.54 euros, after reaching the highest intraday
point in two months.
NSI shares closed up 0.3 percent at 14.75 euros, erasing
most of their intraday gains.
NSI managed 1.3 billion euros in assets at the end of
December, mostly Dutch offices and shops, while VastNed Offices
managed 1 billion euros, mostly Dutch and Belgian offices.
NSI said in February VNOI had rejected a proposal to sweeten
its offer, which it said was 0.88 NSI shares for each VNOI
share, plus cash equal to about twice VNOI's annual overhead
costs and a one-off payment to management.
Under those terms and based on 18.93 million VNOI shares
outstanding at the end of December and NSI's Friday closing
price of 14.75 euros per share, the offer would be worth 245.7
million euros plus the cash.
(Reporting by Gilbert Kreijger; Editing by Will Waterman)