Laxey Partners, the corporate agitator, has launched a €124m (£108m) bid for Spazio Investment, the Aim-listed Italian property group.
Laxey is the largest shareholder, having recently taken its stake to almost 24%, and has lodged a €4.50-a-share cash offer for the company.
Shares in Spazio, which have fallen by almost 60% over the past year, closed the day up 32? cents at €4.30.
Spazio, which is externally managed by Pirelli RE and chaired by John Duggan, former Gazeley chairman, said yesterday that the offer 'materially undervalues' the company.
At the end of 2008, Spazio owned a portfolio with a value of €730.6m and a net asset value of €13.60-a share. It had €79.8m of cash on its balance sheet and net debt of €333.2m.