Civitas Social Housing (CSH ) is to exit the UK stock market after CKA Group, an Hong Kong asset management group and indirect investor in the real estate investment trust’s fund manager, pounced with a premium cash bid.

Shares in the provider of supported social housing have soared 24p, or 43%, to 79.4p just short of the recommended and agreed 80p per share offer announced today.

Weighed down by regulatory pressures on the housing associations that lease its properties, Civitas and its main rival Triple Point Social Housing (SOHO ), have seen their shares fall to discounts of over 50% to net asset value.

SOHO shares jumped 17% to 54p on speculation it could be the next target. Bids have become a feature of the UK commercial property market this year after the sector derated in response to surging interest rates last year. US private assets group Blackstone is currently completing a takeover of Industrials Reit (MLI).

In a statement CSH chair Michael Wrobel said the offer gave investors the chance of a full exit during a time of economic uncertainty.

He said CKA, as a current investor in social housing, had a detailed understanding of the sector’s fundamental attractions and the expertise of its management team which it will retain after the acquisition.

‘Since our IPO in 2016, the Civitas portfolio has delivered consistently on its financial and social impact objectives. Whilst the Civitas board believes that the offer undervalues the long-term prospects of Civitas as expressed by net asset value, we also recognise that Civitas, and its sector as a whole, faces a number of challenges in sentiment which the public markets are unlikely to overcome in the short to medium term,’ Wrobel said in a statement.