“The board of directors of Acucap is pleased to announce that it will, in terms of a document that will be posted to holders of participatory units in Sycom on or about 31 March 2014, extend an offer to all holders of Sycom units, other than Acucap and its wholly-owned subsidiary, Sycom Property Fund Managers Limited, to acquire all their Sycom units,” [DATA ACP:Acucap Properties Limited] said.
This in exchange for Acucap securities, in the ratio of 58 Acucap securities for every 100 Sycom Units, held on the closing date of the offer.
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Acucap, whose status as a Real Estate Investment Trust (REIT) will take effect from 1 April 2013, carries ownership of investment properties through its subsidiaries and investees.
This includes Sycom, in which it currently holds 33.39 per cent directly. It also holds 100 per cent of the shares in [DATA SYC:Sycom Property Fund Managers] (SPFM), the manager of Sycom.
“The implementation of the offer may result in Acucap acquiring up to 100 per cent of the Sycom units in issue, thereby resulting in Sycom becoming wholly-owned by Acucap, effectively merging the organisations and the property portfolios,” it said.
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“Acucap believes that implementation of the offer will bring a number of benefits to Acucap's security holders, whether holders of linked units shares, and Sycom unit holders.”
According to Acucap, some of the benefits would include: the enlarged Acucap enjoying greater sectoral diversification and reduced asset concentration risk, offering a single entry-point for investors and Sycom unit holders having an investment in an entity with a greater investor spread, to name a few.
“The offer will open for acceptances on 31 March 2014 and will be open for acceptances by Sycom unit holders at any time during such period until 16 May 2014. Any extension to the offer closing date will be announced on SENS,” Acucap said.