Clarification / Additional Disclosure

RNS Number : 1657S

Terrace Hill Group PLC

15 November 2011

 



15 November 2011

TERRACE HILL GROUP PLC

("Terrace Hill" or the "Company" or the "Group")

NOTES TO 2010 REPORT AND ACCOUNTS - CLARIFICATION / ADDITIONAL DISCLOSURE

The Company sets out below additional information to its 2010 Annual Report and Accounts in respect of related party transactions.

In the 2010 Report and Accounts (Note 26 on Page 54), the Company disclosed that it had accounted for its 49% share of Terrace Hill Residential PLC as an associated company and that, of the other 51% shareholding in that company, 49% is held by the Skye Investments group and 2% by RFM Adair.  Skye Investments Limited is a company ultimately owned by family trusts for the benefit of RFM Adair and family. 

Note 26 also disclosed that, as part of the security arrangements for the financing of Terrace Hill Residential PLC's residential investment property portfolio, Skye had given a guarantee of £20.0 million.  As shown in Note 23 (Page 51) of the Report and Accounts, the Company also reported that the Group had also provided a guarantee of £15 million as part of the same security arrangements.

The Company now advises that, in addition to all the information provided above, and as a consequence of Skye providing its additional guarantee of £5 million over and above the Group's own guarantee of £15 million, a fee of 4.41% per annum was agreed to be charged to Skye on this £5.0 million for so long as the guarantee is outstanding.  This fee is only payable either if Terrace Hill Residential PLC makes a distribution or calls for funds from its shareholders.

-Ends-

For further information, please contact:

Jon Austen                                                                                            Tel. [phone]

Terrace Hill Group PLC

David Arch/Gareth Price                                                                         Tel. [phone]

Oriel Securities Limited (NOMAD)

Richard Sunderland/Olivia Goodall/Will Henderson                                    Tel: [phone]

FTI Consulting Inc.                                                                               [e-mail]

Notes to editors:

Terrace Hill Group PLC is a regionally based UK property development and investment group quoted on AIM.  Formed in 1986, the Company has five offices located in London, Glasgow, Teesside, Bristol and Manchester.

 

END

 

 

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