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PRS REIT PLC on Wednesday said it has entered non-binding heads of terms to sell its operating subsidiary PRS REIT Holding Co Ltd, and potentially liquidate its assets. The proposed buyer is an investment vehicle owned by a fund whose advisor is Waypoint Asset Management Ltd, a London-based real estate investor and provider of asset management services. ‘Waypoint currently manages five real estate equity investment funds, alongside a complementary debt lending and loan servicing platform,’ PRS noted. ‘The capital for this transaction is being deployed from a co-mingled discretionary fund managed by Waypoint, whose underlying investors comprise leading UK local government pension funds.’ PRS, a real estate investment trust focused on new homes for private rental, said the total consideration receivable for PRS REIT Holding Co is around £646.2 million. Of this, PRS itself expects around GPB633.2 in net proceeds. The heads of terms includes the condition that PRS not solicit third-party offers, though it can still engage with other potential buyers making offers. If a binding firm offer or new investment in PRS or its operating subsidiary occurs during the negotiation period, PRS will owe Waypoint a £5.7 million break fee. Manchester, England-based PRS said shareholders would still be entitled to an interim dividend for the first quarter of 2026, without any impact to the sale price. If such a dividend is declared, PRS indicated it would be 1.1 pence per share, payable in November. The deal remains subject to due diligence, a sale and purchase agreement yet to be signed and approval by PRS shareholders. If the takeover proceeds, PRS will seek approval to liquidate its shares and distribute assets ‘as soon as reasonably practicable.’ The firm added that it is working with Waypoint to complete the sale by the end of November. PRS shares rose 6.7% to 111.60p on Wednesday morning in London, and have gained 12% in the last 12 months. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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