LONDON (ShareCast) - (Sharecast News) - Blackstone Europe took a step closer to securing Warehouse Reit on Friday, after the London-listed property group backed an improved £489m takeover bid.
Warehouse, a specialist in industrial real estate, had originally recommended a £485.2m offer from fellow landlord Tritax Big Box, having rejected Blackstone's first approach in June.

However, on Thursday the US private equity firm upped its offer to 113.4p per share, alongside a dividend of 1.3p per share, valuing the business at £489m.

That beat Tritax's cash and shares offer, and on Friday Warehouse withdrew its backing.

Neil Kirton, Warehouse chair, said the firm's independent directors had "carefully evaluated" both offers.

He continued: "The increased Blackstone offer provides Warehouse shareholders with a certain all-cash offer, at a premium to the Tritax offer, which comprises a mixed consideration of new Tritax shares and cash, and the independent directors now switch their recommendation in favour of the increase Blackstone offer accordingly."

Blackstone originally said its initial 109p approach was its best and final offer. But it reserved the right to increase the price should another party express interest in the business.

As at 0930 BST, shares in Warehouse were largely unchanged at 115.28p, while Tritax was down 1% at 142.3p.

Tritax, which specialises in supply chain infrastructure, has yet to comment.

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