The Lemon Fool

Oh well hopefully CREI should re-rate upwards now ?.

CREI UP 1.76%, API DOWN 1.45% by todays close.

Anyone who bought API hoping to get CREI cheaply via the merger will be disappointed…..

Will API head back to its previous low of 4x p ?.

Hmmmmm

ATB

Pref

RajK wrote:Further to its announcements of 14 March 2024 and 20 March 2024, the API Board will now take steps to implement a Managed Wind-Down subject to the approval of API Shareholders at a general meeting. More information on this process will be set out in due course.

Well this should be interesting - we'll hopefully see if the valuations attached to IT properties are realistic or not!

RockRabbit wrote:

RajK wrote:Further to its announcements of 14 March 2024 and 20 March 2024, the API Board will now take steps to implement a Managed Wind-Down subject to the approval of API Shareholders at a general meeting. More information on this process will be set out in due course.

Well this should be interesting - we'll hopefully see if the valuations attached to IT properties are realistic or not!

Well selling properties seems to be going down well at RGL which are up a lot since they issued their recovery plan. So maybe it will go down well for API too ?. Who is going to buy all these properties though ?. I guess SHED would likely be interested in APIs logistics properties, but only if the price was right I suspect ?.

Guess we’ll soon get to see the fallout from all this…..

ATB

Pref

PrefInvestor wrote:

RockRabbit wrote:Well this should be interesting - we'll hopefully see if the valuations attached to IT properties are realistic or not!

Well selling properties seems to be going down well at RGL which are up a lot since they issued their recovery plan. So maybe it will go down well for API too ?. Who is going to buy all these properties though ?. I guess SHED would likely be interested in APIs logistics properties, but only if the price was right I suspect ?.

Guess we’ll soon get to see the fallout from all this…..

ATB

Pref

I'm surprised that API is still at such a large discount (33% at 52p?) given that the majority of their properties are industrial, retail or logistics sheds. Asset prices in these sectors appear to be pretty firm and with API being such a small REIT, these disposals won't be much for the market to digest. The office properties are another matter, but these are being essentially thrown in for free given the NAV discount.

Also odd (to me) is that since the merger/takeover collapsed, the CREI share price has largely recovered but SHED has continued to fall.

CREI share price spike up to 85.x p this morning. I set a stop loss at 82p to try and lock in the profit and that sold soon afterwards for 10%+ gain. Really not sure where it will go from here - but it was 90+ before their merger attempt with API. If it falls back I might buy back in.

ATB

Pref

I too dumped my small holding of CREI at 82p - in anticipation of the API tie up.
Made a small 10% profit - so can't complain.
Now watching my API dive.