Tender offer for Town Centre Securities

[Bouleversee]

Subject to approval at a general meeting on Dec. 1, Town Centre is making a tender offer to shareholders at 145p per share which is less than half my acquisition price many years ago. Shareholders may select the number of their shares for which they wish to accept the offer but acceptances may be scaled back to 15.5% of their holding if total acceptances exceed 7,500,000 (approx. 15.5% of share capital).

I can't say I feel inclined to accept an offer at this price for either of my holdings (ISA and certificated). The UK market is generally low (as witness the never before seen number of red entries on my portfolio valuation list) and it won't, I trust, stay that way forever, especially if the Chancellor comes up with any sweeteners next week, which looks likely. I think I'll hang on in the hope that there will be a Hotel Chocolat type takeover (for all we know there may be something in the wind already) or that the market gradually, or preferably quickly, recovers. I had intended to buy HC while they were
low but the price kept going lower and I gave up watching after a while. .

Are there any other Fools who hold this stock? I should be interested to hear other views. I'm afraid I haven't time to follow all my holdings these days.
I do realise that chocs are easier to swallow than bricks and that Covid and WFH must have disrupted things for property owners but I don't suppose too many people can now afford to rush out and buy increasingly expensive chocs either at present so I am trying to look on the bright side.

[Gerry557]

I'm no longer a holder. I liked the story and the family holding but couldn't see where this was heading with the buyback which might negate the REITs status.

I had a mix of holdings and decided to get out on a small profit and years of dividends. My main concern was it being removed from the market and a forced sale possibly at a loss.

I'd like to think that it's sound financial planning buying back under nav and at a SP lows.

Still looking from the outside is it worth an investment?

The yield is quite low, it's not very liquid and there are probably better REITs out there. I have EPIC which is being forcibly sold shortly so the cash will need a new home. I did think about a small dabble back as the price had fallen, well until this announcement. I might be tempted to take up the offer thinking the price might fall like last time but Sod's Laws says whatever you do it will be wrong.

[Bouleversee]

That certainly seems to apply to me these days, Gerry. However, if it's popular so gets scaled back, the sums involved will not amount to much and if most people reject the offer and I sell out completely, I expect I shall regret it. I've got a bit of time to think about it so will sit on my hands.