Arlington Securities is reportedly in advanced talks to buy Aberdeen Property Investors, the property arm of Aberdeen Asset Management, in a deal worth up to £50m.
City sources are claiming that Arlington is the frontrunner in a bidding battle also featuring Teesland, Capital & Regional and Pillar Property.
Arlington is only interested in API’s UK and Continental Europe divisions. It is thought that API’s UK arm, which accounts for two-thirds of its £5.5bn of assets, would complement Arlington’s other holdings well.
Last August, it looked like API would never be sold after the business was officially taken off the market when a deal with British Land broke down. The deal collapsed when API’s Nordic division refused to move alongside the UK and Continental European operations, and British Land subsequently reduced the amount it was willing to pay for the company.
However, Aberdeen Asset Management has since received a number of approaches, and it is understood to be willing to sell all or part of the business at the right price. If Arlington’s acquisition is successful, API’s Nordic division will remain with the parent company.
All parties involved declined to comment.
Source: Freeman News
