FRANKFURT (Reuters) - Activist investor Teleios Capital Partners has increased its stake in Aareal (ARLG.DE) and criticized the German real estate lender’s “stubborn stance” over the possible sale of its software unit.
The move is an effort to increase pressure on Aareal management to consider the sale of its software unit Aareon.
In a letter here this week to the board that was made public on Wednesday, Teleios disclosed that it had raised its stake to 4.47%, up from a previous 3.4%.
The bank said earlier this month that it was conducting a strategic review, but Teleios said the move was “misleading” and “falls well short” of what it would like to see.
A spokesman for Aareal declined to comment.
Reporting by Tom Sims; Editing by Nick Macfie