LondonMetric Property and Schroder Real Estate Investment Trust announced a recommended all-share offer for Picton Property Income on 31 July, valuing the Guernsey-registered property company at about £404m.
Why LondonMetric Property plc and Schroder Real Estate Investment Trust is buying Picton Property Income Limited
The bidders said the deal would lift earnings and dividend income for Picton shareholders, improve liquidity and match Picton's assets and debt facilities with complementary portfolios. Picton's board said the offer was better than alternatives such as a managed wind-down or remaining independent.
“It provides a compelling solution to Picton's material and persistent share price discount.”
Deal terms and financing
Picton shareholders receive 0.190 new LondonMetric shares and 0.894 new SREIT shares per Picton share, worth 78.7p on 30 July closing prices. That is a 7.0% premium to Picton's 73.5p close and a 9.9% premium to its three-month VWAP, but an 8.2% discount to EPRA net tangible assets. SREIT takes 22 assets worth £382m and LondonMetric 22 assets worth £320m plus about £24m of net cash.
Regulatory approvals and timing
The deal was implemented by a Guernsey scheme of arrangement. The court sanctioned it in early September and completion was announced on 11 September 2026, when Picton became a wholly owned subsidiary of SREIT.
Market context
Picton put itself up for sale in January, saying it lacked the scale to attract institutional investors. LondonMetric already owned about 11.1% of Picton. The deal makes SREIT the largest REIT in the AIC UK Commercial Property sector by market value.
