CK Asset makes US$612.9 million offer to acquire London-listed Civitas Social Housing
- The flagship developer of tycoon Li Ka-shing’s family made an all-cash, general offer for Civitas
- Civitas owns specialised supported housing and residential care houses in the UK
CK Asset Holdings has made a US$612.9 million offer to acquire London-listed Civitas Social Housing, a real estate investment trust (REIT) that invests in social care housing and healthcare facilities in the United Kingdom.
The flagship developer of tycoon Li Ka-shing’s family made an all-cash, general offer for Civitas at 80 pence (US$1.01) per share for a total of 485 million pounds, according to a filing to the Hong Kong stock exchange on Tuesday.
The takeover offer by the developer’s wholly-owned indirect subsidiary, Wellness Unity Limited, was a 44.4 per cent premium to Civitas’ closing price of 55.4 pence on Friday.
CK Asset believes that Civitas’ “position as one of the leading social housing providers in the UK and its social impact and earnings profile are complementary to its investment criteria, and make for a suitable strategic fit”, according to the stock exchange filing.
“Underpinned by steady income and stable returns, Civitas Social Housing PLC fits well within our investment criteria and adds to our global real estate portfolio,” said Chiu Yue-seng, head of special projects at CK Asset Holdings in a statement to media.
“[Civitas] has established a good track record throughout the years, working with multiple local authorities, care providers and housing associations. Civitas Social Housing PLC’s role to facilitate delivery of social care, which alleviates pressure on the NHS [National Health Service] in the United Kingdom is a meaningful one.”
