Bami in informal talks with Colonial

Spanish property group Bami SA admitted Friday it has held informal talks with peer Inmobiliaria Colonial over possible 'corporate operations' involving Metrovacesa SA, a company in which it holds a minority stake.

However, in a statement filed to the CNMV, Spain´s market regulator, Bami denied it has held, or is in, formal negotiations with Colonial over the latter acquiring a 'significant stake' in Metrovacesa. Bami admitted that informal talks have been held with several domestic and foreign real-estate groups - among them Colonial - over possible activities with Metrovacesa.

But it said it has no knowledge of Colonial´s reported interest in launching a bid for stakes in either Bami or Metrovacesa, be it friendly or hostile. It also denied it is preparing a hostile bid for Colonial shares. The statement comes a day after Colonial said it has held informal talks with Bami and Metrovacesa over a three-way merger.

Bami acquired a 23.9% stake in Metrovacesa in May from Banco Bilbao Vizcaya Argentaria SA and is planning to merge the two companies. Press reports Thursday said Colonial was looking to acquire a stake in Metrovacesa from Bami and could mount a takeover bid for Metrovacesa if an agreement isn´t reached.

Colonial said it has held informal talks with Bami and Metrovacesa 'with the aim of exploring the possibility of studying together the opportunity for carrying out some form of friendly corporate action, which would have as a result the integration' of the three companies.

(source: Dow Jones Newswires)

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