Logistics Sale Closing & Mandatory Bond Redemption

Globalworth Real Estate Inv Ltd

31 May 2024

 

31 May 2024

This announcement shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the securities referred to herein in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration, exemption from registration or qualification under the securities laws of any such jurisdiction.

Globalworth Real Estate Investments Limited

("Globalworth" or the "Company")

Closing of Fully-Owned Logistics Portfolio Sale and Mandatory Redemption of Bonds

Further to its announcement on 11 March 2024, Globalworth (AIM: GWI), the leading office investor in Central and Eastern Europe, is pleased to announce that the sale of part of its logistics portfolio has successfully closed. The portfolio comprised of five logistics / light-industrial parks with ten facilities in Timisoara, Arad, Oradea and Pitesti as well as a majority stake in two small business units in Bucharest (the "Fully-Owned Logistics Portfolio") and was sold to CTP INVEST SPOL S.R.O. Net proceeds to Globalworth from the sale of the Fully-Owned Logistics Portfolio amounted to €72.4 million excluding working capital, minority interest and following the deduction of €95.8 million secured bank loans associated with the Fully-Owned Logistics Portfolio.

The disposal of the Fully-Owned Logistics Portfolio, which was considered a non-core asset of the Company's overall asset portfolio, is in line with the Company's focus on deleveraging and enhancing liquidity.

In accordance with the terms and conditions of the Company's bonds, the Company intends to use part of the net proceeds received from the sale towards redeeming at par (i) €45,000,000 of its €307,109,200 in principal amount outstanding 6.25% Senior Notes due 2029 and (ii) €20,000,000 of its €333,350,400 in principal amount outstanding 6.25% Senior Notes due 2030 (collectively, the "Notes" and, such redemption, the "Mandatory Redemption"). The Company expects the Mandatory Redemption to occur on or about 18 June 2024 and intends to issue a notice to holders of the Notes, in each case in accordance with the trust deed constituting the Notes.

For further information, visit www.globalworth.com or contact:

Enquiries 

Rashid Mukhtar Group CFO	Tel: [phone]
Panmure Gordon (Nominated Adviser and Joint Broker) Dominic Morley	Tel: [phone]

About Globalworth / Note to Editors: 

Globalworth is a listed real estate company active in Central and Eastern Europe, quoted on the AIM-segment of the London Stock Exchange. It has become the pre-eminent office investor in the CEE real estate market through its market-leading positions both in Poland and Romania. Globalworth acquires, develops and directly manages high-quality office and industrial real estate assets in prime locations, generating rental income from high quality tenants from around the globe. Managed by over 269 professionals across Cyprus, Guernsey, Poland and Romania the combined value of its portfolio is €3.0 billion, as at 31 December 2023. Approximately 96.8% of the portfolio is in income-producing assets, predominately in the office sector, and leased to a diversified array of over 715 national and multinational corporates. In Poland Globalworth is present in Warsaw, Wroclaw, Lodz, Krakow, Gdansk and Katowice, while in Romania it has assets in Bucharest and seven other cities.

For more information, please visit www.globalworth.com and follow us on Facebook, Instagram and LinkedIn.

IMPORTANT NOTICE:

This announcement does not constitute, or form part of, an offer or invitation to sell or issue, or any solicitation of an offer to buy or subscribe for, any securities in the United States or any other jurisdiction nor shall it (or any part of this announcement) or the fact of its distribution form the basis of, or be relied upon in connection with, or act as any inducement to enter into, any contract or commitment. Recipients of this announcement who intend to purchase any securities are reminded that any such purchase or subscription must be made solely on the basis of the information contained in any final form offering circular published in connection with any such securities. In certain jurisdictions, the transactions described above and the distribution of this announcement and other information in connection with the transactions described above may be restricted by law and persons into whose possession any document or other information referred to herein comes should inform themselves about and observe any such restriction. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction.

 

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