Jan 11 (Reuters) - British landlord LondonMetric Property (LMPL.L) will acquire London-based real estate investment trust (REIT) LXI (LXIL.L) in a deal valued at 1.9 billion pounds ($2.43 billion), the companies said on Thursday.
Under the terms of the deal, each LXI shareholder will get 0.55 new LondonMetric shares for every share held. This represents a premium of about 9% to LXI's closing price before the offer period began in December.
LXI directors intend to recommend unanimously that shareholders vote in favour of the deal, which is aimed at creating a new major REIT focused on greater scale and sectors with high barriers to entry.
LondonMetric, also a REIT, mainly owns logistic platforms alongside a grocery-led long-income portfolio, while LXI invests in varied sectors, including healthcare, budget hotels, theme parks, food stores, industrial, pubs, and education.
($1 = 0.7831 pounds)
Reporting by Eva Mathews in Bengaluru; Editing by Janane Venkatraman
Source: Reuters