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LONDON-Canary Wharf chairman Paul Reichmann has announced his intention to form a consortium of investors to bid for the company he founded.

A stock exchange statement from his IPC Advisors vehicle said it was “committed to maintaining the integrity of the Canary Wharf estate and seeing the Canary Wharf vision through to completion by carrying out its future development plans.”

The consortium intends to work with Canary Wharf’s existing management if a bid succeeded.The statement added that at this stage there is no certainty that a consortium could be formed or a bid announced.

A Reichman-led bid would effectively create a three-way bidding war for the UK’s largest quoted property company. A consortium of US investment banks Morgan Stanley and Goldman Sachs and Canadian conglomerate Brascan are the only other bidders to emerge so far.

Today’s statement is seen by analysts as a way of scotching speculation that Riechmann would throw his 7.7% stake behind the Morgan Stanley/Goldman Sachs bid.

Sources close to Reichmann previously indicated that he would consider bidding if other bids came in below 310p per share, which would value Canary Wharf at £1.8 billion ($2.9 billion). But indicative offers from the other two bidders were only in the 260-280p region and City sources mooted a bid of around 275p would be most likely, valuing Canary Wharf at £1.6 billion ($2.6 billion).

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