Teddy Sagi delisting Market Tech from LSE

Teddy Sagi
Teddy Sagi

Sagi's privately held LabTech Investments has made an offer at a 30% premium to buy the 29% of Market Tech it does not already own.

Teddy Sagi is delisting Market Tech Holdings Ltd. from the London Stock Exchange, with a view to turning it into a private company wholly owned by him. On Friday, through LabTech Investments Ltd., Sagi made an offer to buy the 29% of Market Tech that he does not already own for 188 pence per share, representing a premium of 30% over the market price of the shares, and valuing Market Tech at $1.14 billion. Sagi will pay about £264 million for the minority shareholdings, and a further £100 million to repay Market Tech bonds, or about $500 million in total.

Market Tech was floated on the London Stock Exchange in late 2014 at a valuation of £750 million. Its main assets are properties in and around the Camden area of north London, and retailing technology companies.

LabTech was founded in 2014. Its main assets are its shareholding in Market Tech and a portfolio of properties in Holborn, Central London, which it acquired in late 2016 for approximately £300 million. LabTech is wholly owned by GHT, a trust of which the ultimate and sole beneficiary is Teddy Sagi.

Market Tech's board recommends accepting the offer. "The independent Market Tech directors have reviewed this cash offer in light of the potential of the Market Tech business whilst also considering the impact of both uncertain market conditions and the current rating for listed UK real estate companies with large scale long-term developments," said Market Tech chairman Neil Sachdev, "Against this background, the independent Market Tech directors believe the cash offer provides shareholders with a certain opportunity to realize future potential value today, at an attractive premium to the current share price."

The LabTech offer will be voted on in two weeks' time. It requires the support of half the minority shareholders in Market Tech in order to pass.

Published by Globes [online], Israel business news - www.globes-online.com - on April 23, 2017

© Copyright of Globes Publisher Itonut (1983) Ltd. 2017

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