Key facts about HPI's response to takeover bid

Hotel Property Investments (ASX:HPI) has issued a second supplementary target's statement regarding an off-market takeover bid by Charter Hall Wholesale Management. The bid, which seeks to acquire all HPI securities, is described by the company as 'opportunistic, unsolicited, and conditional.' The HPI Board unanimously advises securityholders to reject the offer, asserting it undervalues their unique pub portfolio and growth potential.

Overview and outlook of HPI's strategic position

Hotel Property Investments (ASX:HPI) is facing an off-market takeover bid from Charter Hall Wholesale Management, acting on behalf of Charter Hall Retail REIT and Hostplus. The offer, priced at $3.785 per security, is deemed opportunistic by HPI's Board and is recommended for rejection by securityholders. The Board argues the bid undervalues HPI's high-quality pub portfolio and its potential for future growth. Currently, the bidders hold a 26.94% interest in HPI securities, and the offer remains conditional. HPI's strategic vision, shared at the recent AGM, focuses on strengthening its position as Australia's premium ASX-listed owner of pub assets. The company's strategy highlights secure income, organic growth, and opportunities for venue enhancement, acquisitions, and site intensification. HPI maintains that its current strategy and portfolio offer more value than the takeover proposal.

Executive commentary on takeover bid

The HPI Board believes that the offer from Charter Hall Wholesale Management undervalues the company's unique pub portfolio and its future growth potential. We unanimously recommend that securityholders reject the offer and take no action in response to correspondence from the bidders.