Suspension of trading, EBRD & Funding Update

RNS Number : 6089H

Aisi Realty Public Limited

01 June 2011

 



1 June 2011

Aisi Realty Public Limited
("Aisi" or "the Company")

Suspension of trading on AIM, EBRD Restructuring and Funding Update

Aisi Realty Public Limited (AIM: AISI), a property investment company focusing on development projects and related investments in Ukraine, announces that it has requested that trading in its ordinary shares on AIM be suspended until such time that it has secured all necessary funding to enable to it to carry on as a going concern.  As announced by the Company on 15 March 2011, management remain in discussions with (a) certain existing shareholders of the Company and (b) an independent, third party investor group to provide a working capital facility, or other cash injection, to meet the short term funding requirements of the Company and its subsidiaries (together the "Group").  Discussions with these potential providers of finance are continuing, but have taken longer than originally envisaged.  The directors of the Company ("Directors") have therefore requested that the Company's shares be suspended from trading on AIM until such time that the Group's financial position is clarified.

EBRD Restructuring

Aisi is however pleased to announce progress in this regard having signed a restructuring agreement with EBRD on the $34.4m facility with $15.5m outstanding on the Group's Brovary warehouse. The agreement provides Aisi with a grace period on the principal repayments until September 2012, and extends the duration of the loan by 18 months compared with the original term.

Funding

Whilst the restructuring of the EBRD facility is the first step in securing the ongoing financial position of the Group, given the small contracted rental income to date, the available working capital of the Group continues to be very tight. As above, the Directors remain in discussions with various parties to provide additional working capital facilities and/or capital injections to meet the Group's ongoing funding requirements.  The Company's shares are to be suspended until the Group's financial position is clarified.

The Company will make a further announcement in due course.

- Ends -

Enquiries:

AISI Realty Public Ltd
Beso Sikharulidze	[phone]
Seymour Pierce Limited
Nandita Sahgal / David Foreman (Corporate Finance)	[phone]
Leti McManus (Corporate Broking)

 

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