Grainger In Sovereign Reversions JV Talks With Moorfield

17th Jun 2010 08:07

LONDON (Dow Jones)--U.K. residential property company Grainger PLC (GRI.LN) Thursday said it is in talks with fund manager Moorfield about setting up a joint venture with one of Moorfield's funds to become a funding partner in the equity release investments portfolio of its new acquisition. Grainger announced earlier this month that it had made a recommended 202 pence a share cash offer for Sovereign Reversions PLC (SVN.LN), valuing the equity release company at around GBP34.6 million. Grainger and U.K.-based real estate investor and fund manger Moorfield are working on agreeing a 50-50 joint venture which would become the owner of Sovereign Reversions' portfolio of equity release investments, and the portfolio managed by Grainger, Grainger said. Grainger said talks with Moorfield are at an early stage and subject to due diligence. There is no certainty the proposed joint venture will be completed on the terms currently proposed or that any agreement will be reached. -By Rachael Gormley, Dow Jones Newswires; 44-20-7842-9308; [email protected] (END) Dow Jones Newswires June 17, 2010 03:07 ET (07:07 GMT)