LondonMetric Property (LMP) has ruled out making an offer for UK Commercial Property (UKCM ) after a report said it was considering a bid following criticism by UKCM chair Peter Pereira Gray of the proposed all-share merger with Tritax Big Box (BBOX ).

‘LondonMetric notes the comments made by the chairman of UKCM in the 21 March 2024 announcement of the all-share combination with Tritax Big Box Reit plc.

‘However, having only recently completed its merger with LXi Reit on 6 March 2024, LondonMetric is not currently in a position to pursue an offer for UKCM,’ it said.

It also noted the irrevocable support by Phoenix Life, UKCM’s leading 43% shareholder for the merger which is backed by a majority of UKCM’s independent directors.

The announcement greatly increases the likelihood of Big Box securing the £900m investment trust, meaning UKCM’s manager Abrdn will retain the assets as it also owns Tritax.

After a year-long contraction in Abrdn’s investment company stable through a series of mergers and wind-ups, this has been a good week for the group. Yesterday it learned it would retain the assets of Abrdn Property Income (API ) for around two years in a managed wind-down after insufficient shareholders voted on a recommended merger with Custodian Property Income (CREI ).

LMP shares rose 1.8% to 203.4p and UKCM and BBOX were broadly unchanged at 69.5p and 157p respectively.