Property group London and Stamford has sold a number of sites for £265m, prompting suggestions it could be on the acquisition trail.
The company has agreed to sell 17 properties to a business managed by affiliates of investment group Blackstone, with the news pushing its shares up 2.3p to 107.2p. Panmure Gordon analyst Mark Hughes said:
It achieved a price in excess of the most recent valuation, and has protected the income by agreeing to a completion date which coincides with its year end. [This allows] L&S to retain the benefit of this income for its full financial year, therefore protecting the dividend.
The proceeds will supplement existing cash resources of the company and provide further firepower, as L&S positions itself to take advantage of investment opportunities that we think are likely to occur in 2012.
This is the second large disposal in a short period of time. A big acquisition must be looming, in our view.
