Reuters – Sizeler Property Investors Inc. is facing increased pressure from a hedge fund shareholder to reject a deal to sell itself to Revenue Properties Co., according to a regulatory filing onWednesday.
Kenner, Louisiana-based Sizeler, a real estate investment trust that holds 30 U.S. commercial and residential real estate properties, in August agreed to sell itself to Revenue Properties for $15.10 cash a share, or about $324 million.
On Tuesday, however, Boca Raton, Florida,-based Compson Holding Corp. disclosed that it is willing to boost a previous, competing offer of $15.50 per share for the bulk of Sizeler assets to $16.10 per share.
The Compson move prompted Sizeler shareholder Opportunity Partners LP, which is led by activist investor Phillip Goldstein, to call for Sizeler to reconsider the Revenue Properties deal, according to a filing with the U.S. Securities and Exchange Commission.
“In light of the the superior all-cash offer proposed by Compson, we call on the board (of Sizeler) to immediately enter into discussions with Compson or any other interested party that may be willing to offer a premium to the current $15.10 per share offer,” said Goldstein in a letter to Sizeler.
