Central European property investor Atlas Estates Ltd says that it has received an approach that could result in a cash offer of 90p a share, which is well below the AIM-quoted company's NAV.

The bid has been received from an existing shareholder. The net asset value of Atlas was €2.42 a share at the end of 2009, down from €3.68 a share. If valuation gains on development properties are included the NAV is €2.95 a share. Even if the lower figure is taken, the 90p a share bid is at a 58% discount to NAV.

The share price rose 8p to 89p a share.

In December 2008, Atlas asked shareholders to vote to cancel the AIM quotation. This would have left the company with a listing on the Warsaw Stock Exchange.

Shareholders holding 13,976,099 shares voted against the proposal and that was enough to stop Atlas getting the 75% of the votes in favour of the cancelation it required. Just over 71% of the votes were in favour.

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Atlas Estates Ltd. (ATLS) share price