SYDNEY, Dec 7 (Reuters) - Australia's Dexus Property Group DXS.AX plans to buy Investa Office Fund IOF.AX in a cash and share deal valuing the real estate investment trust at around A$2.5 billion ($1.8 billion), the companies said on Monday.
Investa Office Fund has been studying ownership options since Morgan Stanley (N:MS) put the broader Investa Property group up for sale in April. The group was sold to sovereign wealth fund China Investment Corp CIC.UL in July.
Dexus will offer 0.424 of its shares and A$0.8229 in cash for each Investa unit, valuing IOF units at around A$4.11 each, the companies said in a statement.
IOF units rose 1.3 percent to A$3.88 in early trade on Monday, while Dexus shares added 2.5 percent to A$7.84.
($1 = 1.3630 Australian dollars)