Aedifica and Cofinimmo create €12.1 billion healthcare REIT
After weeks of talks Aedifica and Cofinimmo have agreed to merge, forming the largest healthcare property company in Europe and the fourth-largest in the world with a combined portfolio of €12.1 billion, the two Belgian companies announced in a joint statement.
“This agreement marks a major step in our ambition to become Europe’s leading healthcare REIT,” said Stefaan Gielens, CEO of Aedifica. “We can now accelerate the integration of both companies and ensure we apply the most effective strategies to create value for all stakeholders.”
Aedifica´s revised offer of 1.185 of its shares for each Cofinimmo share has been accepted. In May Cofinimmo had rejected an unsolicited all share takeover offer of 1.16, 20% above the stock price, from Aedifica, stating it undervalued its portfolio of specialist care properties, and had asked for 1.21. Negotiations then continued over the past few weeks, resulting in a compromise deal.
“This combination marks an important moment as we join complementary expertise, portfolios and ambitions”, said Jean-Pierre Hanin, CEO, Cofinimmo. “Together, we are uniquely positioned to unlock significant synergies and deliver sustainable long-term value to our shareholders, tenants, and stakeholders. It has been a privilege to play a role in bringing these two businesses together in what will undoubtedly be a landmark transaction for the industry.”
The companies’ boards have unanimously agreed to support the merger in the belief that “complementary geographic footprints, aligned strategic focus on healthcare, and comparable portfolio sizes, earnings profiles, and capital structures will provide a strong foundation for value creation.”
The collaboration between the two companies will foster a smooth integration process and is expected to generate sizeable operational synergies of approximately €16 million, stemming from operational efficiencies.
The transaction creates a Belgian champion in a strategic industry with a shared commitment to sustainability, the companies said. The combined group will retain primary listing on Euronext Brussels and inclusion in BEL20 index.
It has been agreed that in September, when the deal is expected to be completed, Cofinimmo chair Jean Hilgers will succeed Aedifica’s Serge Wibaut as the group’s chairperson.
