Polar Bidco, a corporation owned by Blackstone Group funds, has bid €3.8 billion ($4.2 billion) for listed real estate company Sponda PLC, according to a Sponda news release.
The price includes €2 billion in debt to be assumed by Polar Bidco and €1.8 billion in equity. The offer represents a 20.7% premium to the June 2 closing price on the Nasdaq Helsinki. Sponda's board of directors has unanimously recommended shareholders accept the tender offer. So far, some 47% of Sponda shareholders have accepted the offer, but Polar Bidco needs to gain control of more than 90% of the issued and outstanding shares.
Polar Bidco will publish a tender offer June 12, with the offer period commencing around June 13 and expiring July 14.
Real estate fund Ariem Fund III, managed by Stockholm-based real estate manager Areim, will become co-investor in the tender offer alongside Blackstone's vehicles.
Sponda has €3.8 billion in assets under management; the firm invests in commercial properties in Finland.
Paula Chirhart, Blackstone's senior vice president, global public affairs declined comment.