Manchester-based PRS REIT plc, the real estate investment trust that invests in the private rented sector, said its revenue — derived entirely from rental income — increased 17% to £32.9 million in the six months ended December 31.

Profit before tax increased 52% to £46.2 million.

PRS REIT said its Q2 dividend increased, reflecting continued strong rental and earnings growth, taking total H1 dividends to 2.1p per share (H1 2024: 2.0p).

The closed-end fund said that the composition of its board has been changed, and a strategic review and formal sale process was launched in the period.

The fund’s share price has risen almost 50% to around £1.16 over the past year to give it a current stock market value of about £638 million.

“As announced on 11 February 2025, the company received several non-binding proposals in connection with the acquisition of the company, the majority of which were pitched within a price range representing a premium to the then share price and a discount to the June 2024 published NAV …” said PRS REIT.

“Following this, the company invited a select number of parties to undertake due diligence. Discussions with a number of parties are ongoing …

“Alongside this, and as part of the wider strategic review, the board continues to explore all the options available to the company, with a view to maximising value for the company’s shareholders.”

Geeta Nanda, non-executive chair of PRS REIT, said: “Interim results are excellent, reflecting the continued strong performance of the company’s portfolio of rental homes, the largest of its kind in the UK.

“The final tranche of new homes is now due by the end of June, at which point the PRS REIT’s portfolio will amount to 5,478 completed homes with an estimated rental value of around £70m per annum.

“The shortage of high-quality family rental homes in the UK combined with rising demand continue to favour prospects for the PRS REIT.

 “The Strategic Review and Formal Sale Process remain in process and further updates will be made in due course, and by no later than the end of calendar Q2 2025.“