AMP property extends offer on Capital Properties

AMP Property has extended its $1.42 a share takeover offer for Capital Properties by nine days.

The offer, which opened on September 30, will now close just before midnight on November 9.

AMP said Capital Properties' formal statement providing advice and information to shareholders on the offer would not be ready until October 14. This would have only given shareholders two weeks to consider the offer before the original closing date of October 31.

The offer is conditional on AMP Property getting at least 50 per cent of Capital Properties. AMP has already received consent from the Overseas Investment Commission for the offer.

AMP Property already owns 15.4 per cent of Capital Properties and is looking to gain 50 per cent.

A recent revaluation of Capital Properties' property portfolio showed the company's assets have risen in value by almost $43 million, or 8.6 per cent, between March 31 and September 30, to $586.6 million.

Capital Properties is the landlord for 60 per cent of all Government space and around a quarter of Wellington's total office space.

Shares in Capital Properties were unchanged at $1.44 in afternoon trade today. Since the offer was announced they have traded as high as $1.45.

- NZPA