Livingstones reveal bid for NR Nordic

By James Whitmore

The Livingstone brothers have launched a €114.2m takeover bid for Euronext-listed NR Nordic & Russia Properties, in which they already hold a 24.6% stake.

Richard and Ian Livingstone, the owners of London & Regional Group, which includes LR REAM, the asset manager of NR Nordic, are offering €0.24 in cash for each NR Nordic share via their Holowent vehicle.

The offer represents a premium of 26.3% over the average closing price of €0.19 on 28 September, the day before the Livingstones first flagged their interest in taking over the company. However, it reflects a discount of 48% to NR Nordic's net asset value.

"We believe that the NR Nordic share price has been inflated by speculation as to the level of our offer - which today's announcement has put to rest," the brothers said in a statement.

"NR Nordic shares are extremely illiquid and we believe that our offer represents the only sure route to liquidity for NR Nordic shareholders who wish to sell their shares at a fair price."

Last month, the Takeover Panel gave the duo a deadline of today to make an offer for NR Nordic, which owns 38 properties in the Nordic and Baltic regions and Russia valued at €555m.

David Hunter, senior non-executive director of NR Nordic, said: "The independent directors are not giving a firm recommendation to shareholders on the offer.

"Whilst the offer provides shareholders with an immediate opportunity to realise their investment in the company for a certain cash amount, the independent directors believe shareholders may wish to consider a number of factors for and against the offer, when considering whether or not to accept the offer".