Dexus's CPA takeover bid terminated

Property group fails to respond the rival GPT Group bid in allotted time.

A takeover bid for Commonwealth Property Office Fund Ltd (CPA) from Dexus Property Group Ltd and Canada Pension Plan Investment Board (CPPIB) has been terminated after the consortium failed to match a rival bid from GPT Group Ltd, launched last week, in the specified time.

In a statement to the Australian Securities Exchange, Dexus said while it remained "strongly committed" to its bid to take over all remaining CPA shares, the competing proposals had a "significant scrip component" and it was "too early to respond".

Commonwealth Managed Investments Ltd (CMIL), CPA's responsible entity, said the Dexus-CPPIB consortium could continue due diligence on CPA until December 9.

Last week Dexus said it intended to block the rival $3 billion GPT Group offer, made after Dexus had gone into due diligence.

CMIL earlier backed a sweetened takeover bid from the Dexus-CPPIB consortium which valued the target's stock at $2.42 billion.

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