JERUSALEM, Sept 3 (Reuters) - Real estate fund manager ICAMAP said on Tuesday it opposes the sale of 40% of Atrium European Real Estate to Israeli developer Gazit Globe , saying the offer was too low and that other buyers should be considered.
Luxembourg-based ICAMAP, which holds a 1.38% stake in Atrium, recommended to Atrium’s board to withdraw its recommendation to accept the proposed deal.
Gazit Globe agreed in July to buy the 40% of Atrium it does not already own, betting on growth in densely populated urban areas of Eastern Europe.
The deal, ICAMAP said, “significantly undervalues” Atrium and “is unfair and unacceptable to minority shareholders”.
It said a fair offer would be in the range of 4.75-5.25 euros per share, versus the 3.75 euros ($4.18) Gazit Globe offered.
Atrium shares closed Monday at 3.65 euros.
ICAMAP added that the deal’s seven-week “Go-Shop” provision, which allows Atrium to seek other bids, was inadequate and effectively closed the door on finding alternative buyers. ($1 = 0.8973 euros) (Reporting by Ari Rabinovitch; Editing by Tova Cohen)