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Wednesday, February 27, 2013

CommonWealth REIT launches offering despite raised buyout bid, (NYSE: CWH)

Activist investor Keith Meister and real estate major Related Cos said they were prepared to increase their takeover offer for office building operator CommonWealth REIT to $2.26 billion, or $27 per share.The new proposal is subject to CommonWealth cancelling its planned equity offering and engaging in talks, Corvex and Related wrote in a letter to the real estate trust's board, a copy of which was obtained by Reuters.The investors, who reported a combined 10 percent stake in the company on Tuesday and made an offer of $25 per share, also said they have received expressions of interest for some of CommonWealth's properties in excess of their earlier valuations.Earlier on Wednesday, the investors filed suit against CommonWealth in Maryland to prevent it from proceeding with a 27 million share offering.

CommonWealth REIT (CWH) is a real estate investment trust (REIT). Shares of CWH fell by 7.75% or $-1.89/share to $22.51. In the past year, the shares have traded as low as $13.46 and as high as $24.55. On average, 1228490 shares of CWH exchange hands on a given day and today's volume is recorded at 28452990.