Spanish property company Testa Inmuebles en Renta, part of the Sacyr Vallehermoso group, has announced plans to launch a takeover offer for its French real estate unit, Tesfran.

In a statement to the Spanish and French stock exchanges, Testa said the operation will not oblige minority shareholders to exit and added that Tesfran shares will continue to be listed independently from the result of the offer. Testa already controls 99% of Tesfran, the owner of the 54,000-m2 Tour Adria office complex at Paris-La Défense, which is fully leased to the Technip Group.

Financial details of the offer will be disclosed at a later stage.

The move follows the loss in January of Tesfran's tax-free REIT status after the company failed to comply with a 60% shareholding limit envisioned for French real estate investment trusts.

Tesfran was one out of five French SIICS which were required to sell shares before the end of 2010 to avoid losing their tax-transparent regime. Aside from Tesfran, three other firms, Fonciere Massena, Docks Lyonnais and MB Retail Europe, were forced to exit the REIT regime earlier this year. SIIC de Paris was instead able to retain the tax-efficient status by selling a 30% stake to Société Foncière Lyonnaise (SFL).