O Twelve confirms Westbrook talks

O Twelve has confirmed it is in advanced discussions with a third party about underwriting a potential equity fundraising. It issued the statement after a report stated that US private equity group Westbrook Partners was in advanced talks to acquire a stake that would take it over the 50 percent threshold.

The report indicated a significant placing and open offer of new shares and said that Westbrook expected to raise nearly £40m. The report said the money would be used to cut O Twelve’s borrowings and to invest in future developments. O Twelve owns £170m of property that is spread throughout London, the Thames Gateway, Essex, North Kent and Hertfordshire.

The company wants to take advantage of property acquisition opportunities in its target areas in the run up to the Olympic Games in 2012. It is interested in acquisitions across industrial, retail, office, leisure and residential.