Ires Reit is going to start a strategic assessment to think about what choices the company has.
As part of a recently launched strategy assessment, the nation’s largest private sector landlord will take into consideration a possible sale of its over 4,000 houses and apartments, which are worth at approximately €1.43 billion.
The declaration comes after Vision Capital, a dissident shareholder, decided to relaunch its effort to force changes to the company’s management, including several board seats. Additionally, it has advocated for the company’s assets to be auctioned off or for it to be removed from the stock exchange.
The board stated in a statement today that in order to maximize value for shareholders, the evaluation will start in the first quarter of this year and that it will take into account a “full range of strategic options.”
These consist of mergers and consolidations, the company’s assessment as a listed Reit, the sale of the whole amount of its issued capital, the sale of assets, and providing value to shareholders.
In June of last year, the corporation owned over 40 blocks, totaling almost 4,000 units with a combined worth of €1.43 billion. It would be the largest residential property sale in Irish history.
Ires went on to say that the corporation has more options to examine because of the possible moderation of inflation, improvements in interest rate forecasts, and more financial stability.
“We, the board, feel that this is the right moment to start a strategic review that will assess the wide range of options to improve shareholder value and take advantage of the opportunities that come with our market-leading portfolio and operating platform,” Declan Moylan, chair of Ires, stated.
Additionally, the board suggested that shareholders abstain from voting on any proposals at the recalled EGM.
Vision Capital proposed the motions last month in an attempt to seize five of the nine current board seats.
In order to protect and increase total shareholder value, they also demanded that Ires explore, develop, and put into practice strategic options.
