Scottish Widows is to fight for control of one of the UK’s largest property investment trusts, following the rejection of a buyout offer. Financial Times

Scottish Widows was yesterday told by the £301m UK Balanced Property Trust that its offer to shareholders at net asset value, made last week, undervalued the company.

Analysts predicted an unusual takeover battle could ensue as the board signalled it would seek other interest.

Scottish Widows is the former fund manager of the trust and is also the majority shareholder with 18%. It lost the mandate to run the trust in February after two fund managers left to set up Cordatus Partners, which subsequently won management of the fund.