Shares in Germany-focused Sirius Real Estate Ltd (LSE:SRE, JSE:SRE) were up 4% after its third significant deal in a week.
The £34mln acquisition of the Oberhausen Business Park followed the £245mln purchase of flexible workspace specialist BizSpace and the £38mln it paid for an office and two business parks in Frankfurt, Erfurt and Essen respectively.
The BizSpace transaction, part-financed by a £137mln City fundraiser, caught the eye.
“The portfolio and its platform offer the attraction of double-digit accretion on day one, as well as the opportunity to drive further growth through a combination of knowledge sharing and best practice, and operational synergies,” said Peel Hunt.
Analysts at the brokerage revisited their spreadsheets. The net effect was an increase in the price target to 155p a share from 125p.
The new valuation puts it a “deserved premium” to the sector at 23-times forward earnings, Peel Hunt said.
“We find this very attractive for such a compelling growth story,” it added.
The stock, up almost 48% in the year to date, was changing hands for 138p in early afternoon trade, up 5.4% on the day.