London & Stamford stock to move to main market

AIM-LISTED property investor London & Stamford is seeking shareholder approval for a switch to London’s senior stock market as part of a plan to adopt tax-efficient REIT status.

The Guernsey-based company, set up by veteran real estate entrepreneurs Raymond Mould, Patrick Vaughan and Humphrey Price, was formed in October 2007 to snare discounted properties after one of the deepest price slumps in decades.

It expects to join the Official List by 1 October.

London & Stamford said the move would improve access to a broader shareholder base, and enable it to convert to a Real Estate Investment Trust (REIT) and enjoy a slew of tax benefits like exemption from Capital Gains Tax on asset sales.

It is also seeking approval from shareholders on a proposal to bring its external management team, LSI Management, in-house by way of an acquisition worth £55m.

The group aims to achieve an annual increase in value of 11.5 per cent.