Goldman Sachs (GS:US) Group Inc., which took LEG Immobilien AG (LEG) public in February, may raise as much as 294 million euros ($402 million) by selling 7 million shares of the German landlord, a person with knowledge of the transaction said yesterday. LEG fell as much as 5.2 percent.
Goldman offered the shares at 41 euros to 42 euros each, said the person, who asked not to be identified because the information isn’t public. The shares were owned by Whitehall Street Real Estate, a Goldman Sachs money manager, and Perry Capital. Goldman is also managing the share sale, the person said.
LEG, Germany’s second-largest property company by market value, was sold in the biggest initial public offering of a German real estate company. Goldman raised 1.3 billion euros in that deal, which left Whitehall with 41 percent of the shares and Perry with a 9 percent stake.
LEG fell 4.1 percent to 41.80 euros at 9:20 a.m. in Frankfurt trading. The shares have dropped about 5.6 percent since the IPO, while the EPRA/FTSE Nareit Index of German property stocks has slid 1.3 percent.
During the IPO, 30.5 million shares were sold at 44 euros each. Before the offering, Whitehall held 95 percent of the company.
LEG, based in Dusseldorf, owns about 91,000 apartments in North Rhine-Westphalia, Germany’s most populous state.
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