MONTREAL, Aug. 1, 2019 /PRNewswire/ -- Letko, Brosseau & Associates Inc., an independent investment manager that exercises investment control or direction over approximately 1.7% of the outstanding shares of Atrium European Real Estate Limited ("ATRS" or the "Company") and is the Company's second largest shareholder, today affirms its intention to vote AGAINST the proposed going private transaction of ATRS by Gazit-Globe Ltd.
Letko Brosseau believes that the proposed transaction price of 3.75 Euros per share is significantly below the Net Asset Value of 4.62 Euros per share provided in the Company's 2018 Annual Financial Report and is not reflective of ATRS's long-term earnings potential. The Company has been negatively impacted by industry factors and the transaction comes during a time of weak performance and low share price. We believe these industry pressures will ease and expect that the Company's financial performance should strengthen as industry conditions improve. In light of this anticipated improvement and our evaluation of the Company's long-term earnings potential, the transaction significantly undervalues the Company.
Letko, Brosseau & Associates Inc. is a Canadian independent investment manager founded in 1987. As of June 30, 2019, the firm manages $28 billion in assets for institutional investors and private clients. It has offices in Montreal, Toronto and Calgary.
Certain information contained in this press release may constitute forward-looking statements. Forward-looking statements may include estimates, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Although Letko Brosseau believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. These statements are subject to certain risks and uncertainties and may be based on assumptions that could cause actual results to differ materially from those anticipated or implied in the forward-looking statements. Letko Brosseau's forward-looking statements are expressly qualified in their entirety by this cautionary statement. The forward-looking statements contained in this press release are made as of the date hereof and Letko Brosseau does not assume any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise unless expressly required by applicable securities laws.