Canary Wharf to buy out Docklands partners

Canary Wharf, the real estate company that joins the blue chip FTSE 100 index today, said it will buy out its partners in the final stages of the Canary Riverside development in the Docklands area, London, for £34m.

Canary Wharf, the real estate company that joins the blue chip FTSE 100 index today, said it will buy out its partners in the final stages of the Canary Riverside development in the Docklands area, London, for £34m.

The purchase of the stakes owned by Pidemco and Hotel Properties, both Singapore-based, will allow the company to expand its Docklands complex.

Canary Wharf, which went into receivership in 1992, gains control of a 2 hectare site at Westferry Circus, Docklands. The company plans to build offices on the land. As part of the transaction, Canary Wharf will give up its 20 per cent ownership of stage one of the Canary Riverside development, which includes 320 apartments and a Four Seasons hotel, to Pidemco and Hotel Properties. Canary Wharf said it values the stakeat £6.6m.

Canary Wharf will replace Allied Zurich in the blue chip FTSE 100 Index today. Allied Zurich, which represents 0.9 per cent of the index, is restructuring with a listing in Switzerland as Zurich Financial Services.

Canary Wharf shares yesterday closed down 10.5p at 559.5p.