UPDATE 1-Conwert gets new offer for German portfolio

Wed Apr 16, 2014 7:48am EDT

Related Topics

* Ex-admnistrative board chief makes offer with consortium

* Offer worth 750-800 mln eur - source

* CEO says examining offer but does not fit company strategy (Adds CEO comment, shares, background)

By Georgina Prodhan

VIENNA, April 16 (Reuters) - The former administrative board chief of Austrian real-estate firm Conwert has made an offer for the company's German portfolio together with a consortium of investors.

A source with knowledge of the matter said the offer was worth about 750 million to 800 million euros ($1.04-1.11 billion), corresponding to the net asset value of the German business, and that the consortium was led by a major U.S. insurer.

The offer was made just after Johannes Meran left the administrative board and the company on March 26, the source said on Wednesday.

Meran and Conwert Chief Executive Clemens Schneider confirmed the offer existed but declined to go into details.

Schneider told Reuters: "We can confirm we got an offer. We are in the process of examining it in detail, but it does not correspond to the strategy the company has communicated."

Shares in Conwert, whose market capitalisation is 829 million euros, rose 1.0 percent to 9.80 euros by 1145 GMT.

Conwert held inconclusive talks with at least one other party last year to sell its German business, which accounts for about two-thirds of its portfolio.

It has said since that residential properties and apartment buildings in Austria and Germany are its primary focus.

Conwert has been through upheaval in the past months, culminating in the resignation of Meran, who had been criticised for his dual role as administrative board chief and effective head of operations while the company had no CEO.

Schneider was installed as CEO in February.

Rebel investor Alexander Proschofky, a critic of Meran, has told Reuters he is putting himself forward as a director to curb what he sees as too great an influence on the company by major shareholder Hans Peter Haselsteiner.

($1 = 0.7234 euros) (Editing by Michael Shields)

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