Elanor Commercial Property Fund (ASX: ECF) is facing scrutiny as the Takeovers Panel reviews an application from Elanor Funds Management Limited (EFM), the responsible entity of ECF. Elanor Commercial Property Fund is a listed externally managed real estate investment trust (A-REIT). The application concerns an off-market takeover bid by LDR Assets Pty Ltd, as trustee for the LDR Assets Trust (Lederer), which is offering $0.70 per ECF security.
The application, supported by an independent board committee, alleges material information deficiencies in Lederer’s bidder’s statement. These deficiencies relate to the ownership, personnel, expertise, and track record of Lederer, the Lederer Family Office, and LDR Capital. The application also points to speculation regarding changes to ECF’s strategy, misleading comparisons of ECF’s management expense ratio (MER), and the omission of safeguards related to a potential ASX delisting.
EFM contends that Lederer’s bidder’s statement contains errors and misstatements, some of which Lederer has reportedly agreed to address. EFM is seeking final orders from the Panel, requiring Lederer to disclose the deficiencies to the market and to lodge a replacement bidder’s statement with corrected information.
Lederer has confirmed its intention to dispatch a replacement bidder’s statement. The Takeovers Panel has not yet appointed a sitting panel or made a decision on whether to conduct proceedings, and it has made no comment on the merits of the application at this stage.
