Strategic review process ongoing

The strategic review and sale process initiated by Picton in January 2026, to explore options to maximise value for shareholders, is ongoing. In May, Picton received a non-binding indicative all-share offer from LondonMetric and Schroder Real Estate Investment Trust, acting as a consortium, the terms of which can be seen at the end of this report. The consortium is yet to make a firm offer for Picton, but on 16 June it announced that it had progressed confirmatory due diligence. Based on closing share prices as at 15 June, the terms of the proposed offer represented a value of £396m for Picton or 76.9p per share, a 9.0% premium to the closing share price of Picton at the same date.

Three possible outcomes.

One.

If the bid is finalised and subject to the share prices of SREI and LMP, a profit could be booked.

Two

A bid is made and the profit isn’t worth booking, the SNOWBALL would end up with shares in SREI 7.6% yielding and LMP yielding 6.5% which would be an acceptable outcome.

Three.

No bid is finalised and you end up with PCTN shares yielding 5.3%.

The shares would have to be sold, most probably at a loss.

This year’s income for the SNOWBALL is secured, so there could be time to buy and wait for the outcome. The jury is still out.