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LONDON-Leo Noé has made a third and higher offer for Derwent Valley, valuing the company at £436 million ($752.1 million).

The new bid of 800p a share represents a 2.6% premium to Derwent’s triple net asset value.

Winten, which is controlled by Noé’s family trust and advised by REIT Asset Management, has made two previous offers in the last two weeks, of 771p and 760p a share respectively. Both of these were rejected by Derwent board which believed they undervalued the company.

But Kevin McGrath, who runs REIT on Noé’s behalf, believes they will be unable to make that case about the new offer. He says: “Over the last three years, the great majority of offers for listed UK property companies have been at a discount to historic triple net asset value. Derwent Valley does not have a major development portfolio to justify a significant premium to triple net asset value.”

He also warned Derwent shareholders that the central London market remained uncertain. McGrath says: “Derwent Valley’s claims of a recovery in its core marketplace are premature.”

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