Capco acquires stake in Shaftesbury PLC

Capco acquires stake in Shaftesbury PLC

Capital & Counties (Capco) has agreed to acquire a 26.3% shareholding in Shaftesbury PLC across two tranches, for a toal consideration of £436 million, at a prce of 540 pence per Shaftesbury share, representing a discount of 13.9% to the closing Shaftesbury share price on 29 May 2020.

The announcement by Capco confirmed the shares 'are being acquired from Veloqx (Jersey) Limited, as trustee of the Veloqx settlement, a discretionary trust established by Samuel Tak Lee for the benefit of himself and his immediate family'.

The acquisition includes a significant stake in a mixed-use real estate portfolio in Covent Graden.

Ian Hawksworth, Chief Executive of Capco, commented: “As long-term investors in the Covent Garden estate and the West End, the investment in Shaftesbury represents a unique opportunity to deploy our capital in an exceptional portfolio at an attractive entry price, which we believe will generate long-term value for Capco shareholders.

Capco’s world-class estate, strong balance sheet and significant financial flexibility ensure that the Company is well positioned. Whilst we can expect continued market uncertainty in the near term, we are confident about the long-term fundamentals and prospects for the West End and prime central London.”