Unite Group proposes acquisition of Empiric Student Property

Published 05/06/2025, 16:40
Unite Group proposes acquisition of Empiric Student Property

LONDON - Unite Group (LON:UTG) PLC, a leading provider of student accommodation, has made a non-binding proposal to acquire Empiric Student Property PLC, as announced on Thursday. The proposed deal would see Unite Group offering 30 pence in cash and 0.09 new Unite shares per Empiric share, valuing Empiric at approximately £719 million.

The offer represents a premium over Empiric’s recent share prices, including a 10% increase over the closing price on Wednesday, and premiums of 21% and 24% over the three-month and six-month volume-weighted average prices, respectively. The possible acquisition is seen as a strategic move by Unite to expand its presence in the student housing market, particularly among returner and postgraduate segments, and to create a combined entity with enhanced scale and growth prospects.

Unite’s proposal includes the potential for unlocking synergies through its operating platform, which could lead to increased earnings and shareholder returns while maintaining a strong balance sheet. The deal also contemplates the continuation of Empiric’s declared interim dividend of 0.925 pence per share, which is due to be paid on June 27, 2025.

Under the rules of the City Code on Takeovers and Mergers, Unite has until 5.00 p.m. (London time) on July 3, 2025, to either announce a firm intention to make an offer or to declare that it does not intend to proceed with an offer. This deadline can be extended with the consent of the Panel on Takeovers and Mergers.

Unite has reserved the right to adjust the terms of the proposal or to make an offer at a lower value or on less favorable terms under certain conditions, such as with the agreement of Empiric’s Board, if a third party makes a lower offer, or in response to certain corporate actions by Empiric.

The announcement is based on a press release statement and reflects the current stage of negotiations, with no certainty that an offer will be made. Further announcements will be made as appropriate.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.