£1.9bn Chelsfield buyout gives Reubens 35% stake

The billionaire investors David and Simon Reuben have become the largest shareholders in Chelsfield under plans to take the property development company private in a deal worth £1.9bn.

The Reuben brothers have paid £146.4m for a 35 per cent stake in Chelsfield, the owner of Wentworth golf course and the developer of White City in west London.

The move comes after Chelsfield's founder and chairman, Elliott Bernerd, finally pushed through a plan to de-list its shares. Mr Bernerd, who has been trying to take Chelsfield private for a year, raised his offer to 320p a share.

Two earlier bids at 305p per share were rejected as too low by Chelsfield's independent directors. Under the latest recommended offer, Mr Bernerd and his consortium of bidders have agreed to accept 10p less in cash than other shareholders to push the deal through.

The investors, who make up 33 per cent of the shareholder base, include Mr Bernerd and his family, Benny Steinmetz, the diamond magnate, and the Saudi investment company Olayan Group. The consortium also includes the Bank of East Asia and David Li, its chairman and chief executive.

The arrangement means Mr Bernerd personally will take £3.4m less than if he had accepted the terms on offer to institutional shareholders. But he will receive about £40m in cash from selling nearly half of his 12 per cent family stake in the company.

Mr Bernerd said: "After 10 years of Chelsfield being a public company, I am now firmly of the view that the challenges facing the business will be best met by the proposals."

The Reuben brothers agreed to invest in Chelsfield after knowing Mr Bernerd as a friend for some years. Both parties believe taking the company private will make it less vulnerable to opportunistic bids.

The Reubens, born into an Iraqi-Jewish family and brought up in Bombay, have accumulated a fortune in the region of £2bn from metal trading and property. They already own some trophy assets in the UK, such as Millbank Tower in Westminister.

Despite being one of the wealthiest families in Britain, they have traditionally kept a low profile. However, Chelsfield is the latest in a line of prominent deals the two have become involved in, last year staking an interest in Selfridges. In the end they pulled out, thinking the price for the Oxford Street store was too high.

Start your day with The Independent, sign up for daily news emails
News
ebooksAn unforgettable anthology of contemporary reportage
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Recruitment Genius: Payments Operations Assistant

£23000 - £25000 per annum: Recruitment Genius: They win lots of awards for the...

Recruitment Genius: Telephone Debt Negotiator

£13500 - £20000 per annum: Recruitment Genius: This nationwide enforcement com...

Guru Careers: Communications Exec / PR Exec

£25 - £30K: Guru Careers: We are seeking a highly-motivated and ambitious Comm...

Guru Careers: Pricing Analyst

£30 - 35k: Guru Careers: We are seeking a Pricing Analyst to join a leading e-...

Day In a Page

On your feet! Spending at least two hours a day standing reduces the risk of heart attacks, cancer and diabetes, according to new research

On your feet!

Spending half the day standing 'reduces risk of heart attacks and cancer'
Liverpool close in on Milner signing

Liverpool close in on Milner signing

Reds baulk at Christian Benteke £32.5m release clause
With scores of surgeries closing, what hope is there for the David Cameron's promise of 5,000 more GPs and a 24/7 NHS?

The big NHS question

Why are there so few new GPs when so many want to study medicine?
Big knickers are back: Thongs ain't what they used to be

Thongs ain't what they used to be

Big knickers are back
Thurston Moore interview

Thurston Moore interview

On living in London, Sonic Youth and musical memoirs
In full bloom

In full bloom

Floral print womenswear
From leading man to Elephant Man, Bradley Cooper is terrific

From leading man to Elephant Man

Bradley Cooper is terrific
In this the person to restore our trust in the banks?

In this the person to restore our trust in the banks?

Dame Colette Bowe - interview
When do the creative juices dry up?

When do the creative juices dry up?

David Lodge thinks he knows
The 'Cher moment' happening across fashion just now

Fashion's Cher moment

Ageing beauty will always be more classy than all that booty
Thousands of teenage girls enduring debilitating illnesses after routine school cancer vaccination

Health fears over school cancer jab

Shock new Freedom of Information figures show how thousands of girls have suffered serious symptoms after routine HPV injection
Fifa President Sepp Blatter warns his opponents: 'I forgive everyone, but I don't forget'

'I forgive everyone, but I don't forget'

Fifa president Sepp Blatter issues defiant warning to opponents
Extreme summer temperatures will soon cause deaths of up to 1,700 more Britons a year, says government report

Weather warning

Extreme summer temperatures will soon cause deaths of up to 1,700 more Britons a year, says government report
LSD: Speaking to volunteer users of the drug as trials get underway to see if it cures depression and addiction

High hopes for LSD

Meet the volunteer users helping to see if it cures depression and addiction
German soldier who died fighting for UK in Battle of Waterloo should be removed from museum display and given dignified funeral, say historians

Saving Private Brandt

A Belgian museum's display of the skeleton of a soldier killed at Waterloo prompts calls for him to be given a dignified funeral