Reis rejects second hostile offer from CoStar Group

New York /
Aug.August 13, 2008 07:18 PM

 
Reis Inc., a New York-based provider of commercial real estate listings, said today that its board of directors rejected a second acquisition offer from rival CoStar Group.

CoStar again offered an all-cash price of $8.75 per share, and Reis again said it was inadequate.

Reis said it believes it would be better off by continuing to operate independently or by pursuing a more profitable sale of the company.

“It is extraordinarily disappointing that after our Board unequivocally rejected CoStar’s $8.75 proposal, CoStar has seen fit to come back with exactly the same proposal in a hostile fashion,” said Reis Chief Executive Lloyd Linford in a statement. “To judge the value of our company by the daily trading price of its relatively illiquid common stock makes no sense.

“We trust that our clear second rejection of CoStar’s offer will prompt CoStar to withdraw it.”

Bethesda, Md.-based CoStar Group, one of the nation’s largest providers of commercial real estate data, originally offered to buy Reis on June 5. 

CoStar resubmitted the offer on Tuesday, noting that Reis’s share price had dropped 20 percent since the original offer, making the new offer a 97 percent premium over Tuesday’s closing stock price of $4.44 a share.

Linford said the company would “review carefully any serious proposal from any responsible third party.”

Calls to CoStar were not immediately returned.


Related Articles

arrow_forward_ios
Matt Lauer exposes Hamptons estate to the market
Matt Lauer exposes Hamptons estate to the market
Matt Lauer exposes Hamptons estate to the market
 Fredrik Eklund and the property (Getty, Steve Frankel)
Fredrik Eklund lists Bel Air mansion for rent as family moves to “forever home”
Fredrik Eklund lists Bel Air mansion for rent as family moves to “forever home”
Gordon Ramsey and his Lucky Cat restaurant (Lucky Cat)
Gordon Ramsay to open first South Florida restaurant in Miami Beach
Gordon Ramsay to open first South Florida restaurant in Miami Beach
Nate and Carrie LaChance (Facebook, Instagram, Getty)
Building a “Castle” in Texas is anything but a fairytale
Building a “Castle” in Texas is anything but a fairytale
Seattle Seahawks receiver and newly-licensed realtor Tyler Lockett along with 812 245th Place Northeast in Sammamish, Washington (Photo Illustration by Steven Dilakian for The Real Deal with Getty Images and Redfin)
NFL star earns his real estate wings
NFL star earns his real estate wings
Toll Brothers' Douglas Yearly and property at Sparks, Nevada (Toll Brothers)
“Honey, I bought the town:” Buyer ends up with big chunk of subdivision
“Honey, I bought the town:” Buyer ends up with big chunk of subdivision
Mark Cuban with Mustang Texas (Illustration by The Real Deal with Getty)
Mark Cuban’s Jurassic Park is extinct
Mark Cuban’s Jurassic Park is extinct
Alex and Sue Glasscock with 150 Sister Servants Ln (Loopnet, Getty)
Celebrity favorite Ranch Malibu to open in Hudson Valley
Celebrity favorite Ranch Malibu to open in Hudson Valley
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...