RE Invest Belgium SA, an entity fully controlled by one of Brookfield’s real estate private funds, has made an all-cash offer worth €1.3 billion ($1.5 billion) for Befimmo SA, a Belgian real estate investment trust.
Brookfield offered Befimmo shareholders a cash consideration of €47.50 per Befimmo share, representing a premium of 51.8% over the closing share price of €31.30 on 24 February 2022.
Jean-Philip Vroninks, CEO of Befimmo said, “We are pleased that Brookfield recognizes the value and quality of our portfolio, the dedication of our team and the future growth opportunities for the Company. We believe this transaction represents the best path forward for our company to benefit from the strategic partnership of one of the world’s most experienced real estate investors as we navigate the evolving environment for office real estate.”
“Befimmo has built a high-quality irreplaceable office portfolio in attractive European markets”, said Brad Hyler, Managing Partner and Head of European Real Estate at Brookfield. “We look forward to working with the management team and the opportunity to combine our global experience of owning and operating premier office real estate with Befimmo’s established operating platform and attractive development pipeline. We are committed to supporting the Company in unlocking its full potential.”
Brookfield has expressed its confidence in the management of the company and intends to work together with the leadership to continue to develop and retain a best-in-class employee base, said Befimmo in a press release.
AXA Belgium SA (AXA) and AG Finance SA (AG Finance), as Befimmo’s two largest shareholders, are supportive of the offer and have each provided a soft irrevocable undertaking to support the offer. AG Finance has committed to tender shares representing 5.6% of the share capital of Befimmo while AXA has undertaken to tender shares representing 9.6% of the share capital of Befimmo.