St. Modwen Properties PLC (LON:SMP) has received a takeover approach from US investment giant Blackstone that values the FTSE 250 group at about £1.2bn.
The mooted offer of 542p per share is around a 21% premium to the closing price last night and directors of St Modwen said that if Blackstone makes a formal approach at that level they would likely recommend it.
St Modwen added that the offer is the latest in a series of unsolicited approaches from the US fund manager and is a premium of 24% to its latest published net asset value of 438p.
The group is a regeneration specialist with projects such as New Covent Garden among its portfolio though last year it ran into problems with two residential sites in Wales.