Green to go private after battle

STEPHEN Vernon has won the battle to take his company Green Property private after outbidding two rival consortiums chasing the Anglo-Irish property group. Vernon, with backing from Merrill Lynch and Bank of Scotland, has made a recommended offer of e9.8 per Green share, valuing the company at e1.05bn (£679m).

Vernon's offer reflects a discount of 4.1% to the net asset value per Green share of e10.22 as calculated at the end of last year, and a premium of 27.6% to the share price on 16 April, the day before his first approach.

Vernon was up against Treasury Holdings, backed by Lehman Brothers, and Deutsche Bank Real Estate Private Equity, which had joined Goldman Sachs fund Whitehall to make an offer.

He decided to try to take the company private after getting fed up with the market's refusal to reflect fairly the assets of the company in the share price. His new company, to be called Rodingheights, will sell certain properties from the Irish and UK portfolio to raise cash while looking for development opportunities.

Vernon said: 'The medium term strategy may involve active management of remaining assets where growth is envisaged. At this stage there will be selective development and further investment in properties where the skills of the management team can add value.'