Trading Statement

RNS Number : 0405A

Braemar Group PLC

01 October 2009

 

Embargoed 1st October 2009

Braemar Group plc ('Braemar' or the 'Group')

TRADING UPDATE

Braemar Group plc ('Braemar' or the 'Group') today provides the following update for the six months ended 30 September 2009, the full results of which will be announced in November 2009. 

The Group has made the following key achievements: 

Braemar Securities 

We have further diversified our range of funds to include Ground Rents, launched during the summer, adding to the existing Agricultural Land and Student Accommodation funds. All three funds take the form of Guernsey registered Open Ended Investment Companies. This move to list funds on the Channel Islands Stock Exchange has increased our funds under management by 18% during the last six months to £46m. 

The adverse stock market conditions experienced in recent months impacted the fundraising for Braemar UK Agricultural Land plc and the decision was taken to abort its admission to AIM. All the abort costs were absorbed by Braemar UK Agricultural Land plc.

Braemar Estates 

Our property management division which is now responsible for the management of c. £290m of assets and representing some 2,645 apartments, has proved resilient during the wider property downturn, particularly as our activities are limited to the management or refurbishment of assets we own, assets in funds we manage and third party owned freeholds. The division also acts as Property Advisor to two of our three OEICs and we expect margins to improve accordingly as it continues to scale up with little additional cost required to do so. 

Financial Outcome 

The group will report revenue growth for the period and a small pre-tax loss, but the Directors are pleased that the above achievements are continuing to provide a stable footing for the Group. This will be reflected in further revenue growth in the full year and in a continued build up of recurring income.  As fund raising progresses, the Directors expect trading will have strengthened further by the time of our interim results announcement.

For further information please contact:- 

Martin Robinson, Chairman, Braemar Group plc                  0161 929 4969 

Marc Duschenes, Chief Executive, Braemar Group plc       0161 929 4969 

Julie Serrage, Investor Relations                                            0161 929 4969 

Alex Clarkson/Nick Cowles, Zeus Capital                             0161 831 1512

 

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