CI TRADERS has launched a £51.3m. takeover bid for ComProp. Chairman Tom Scott, who has a just-under 30% shareholding in the former and 13.72% in ComProp, has taken a back seat in the bid.

Both companies are listed on the Alternative Investment Market and under its rules, Mr Scott, his son, also Tom, and CI Traders chief executive Martin Bralsford are not involved because they sit on both companies’ boards.

Instead, directors of ComProp who are not connected with CI Traders have recommended the merger to 1,500 shareholders.

A third are in Guernsey, another third in Jersey and the rest overseas.

If the proposed merger goes ahead, CI Traders will have £250m.-worth of property in the Channel Islands.

Although registered in Jersey, ComProp is a property investment and development group operating in Guernsey.

Sites in its portfolio include Admiral Park and Generali’s new offices in Hirzel Street.

Last year, it posted pre-tax profits of £752,000 on £4.8m.-worth of sales.

The company was previously the Channel Television Group, although it sold its broadcasting operation in June 2000.

Shareholders will receive £11.88 in cash and six new CI Traders shares for every 11 ComProp shares, valuing the latter at £1.44 per share.

In a letter to shareholders, CI Traders’ senior independent director Sir Michael Wilkes said the offer represented an important step in the company’s planned development.

‘CI Traders believes that the acquisition of ComProp offers a strategic opportunity to combine expertise with a portfolio of valuable properties and sites in the CI,’ said Jersey’s former Lt-Governor.

‘In particular, it will enable the group to maximise the benefit to be derived from the Admiral Park development, the major retail and leisure edge-of-town hub, which is likely to remain the only such development for the foreseeable future.’

CI Traders currently leases the 50,000sq. ft building, which is home to Checkers.