Calling its recent unsolicited bid “opportunistic,” the board of directors of office REIT Paramount Group has unanimously rejected an offer by Monarch Alternative to buy for $12 per share all of Paramount’s shares outstanding.

Paramount said that it, along with its advisors,  had carefully reviewed the proposal and concluded it “significantly undervalued” Paramount.  

Paramount said in a press release that the bid undervalued the company “particularly considering our recent momentum and the compelling opportunities we see ahead as we capitalize on industry tailwinds. We achieved impressive operating performance in 2021, executing leases of more than one million square feet and our 2022 guidance demonstrates our confidence in our ability to continue to drive growth as the industry environment recovers.”

In late February after Monarch made its unsolicited bid, investors bid up Paramount’s share price by more than 20% to $11.29. Since then, Paramount’s shares have drifted lower and were little changed following news of the board’s rejection of the bid at $10.77.