Paul Reichmann has sold out of Canary Wharf Group, ending a 22-year relationship with the London Docklands development he founded.
Reichmann has sold his stake to Songbird, the majority owner of Canary Wharf. The moves come just weeks after Songbird agreed an £825m refinancing through an emergency rights issue backed by Qatar Holding, China Investment Corporation and Morgan Stanley’s real estate funds.
Reichmann’s shares were held through Germany’s Commerzbank. The deal increases Songbird’s stake to 69.3%. Songbird Estates’ wholly owned subsidiary, Songbird Finance, said last week that it had agreed to purchase 54m shares in Canary Wharf from Commerzbank for £112.5m. In the 1980s, through his company Olympia & York, Reichmann became one of the world’s foremost developers.
Sunday Times, Sunday Telegraph, Independent On Sunday