RNS Number : 2813J
01 December 2008
BANK VTB OPENS A CREDIT FACILITY TO SISTEMA-HALS
MOSCOW, RUSSIA, 1 December 2008. - Sistema-Hals (LSE, MICEX, RTS: HALS), a major Russian real estate company, announced today a credit facility agreement signed with Bank VTB for the amount of RUR 7 billion with tenor of 2 years. The drawdown period is 10 months.
'It is very important that VTB, one of Russia's largest banks, demonstrates its confidence in Sistema-Hals in the current market situation. This credit facility provides Sistema-Hals with additional source of refinancing its current debt and further project funding,' said Andrei Solovyev, Sistema-Hals Chief Financial Officer.
Sistema-Hals is a leading diversified company in the Russian and CIS real estate market. The core businesses of Sistema-Hals are development, project management and construction, and property and facilities management.
It was the first Russian property developer to list its shares on the main market of the London Stock Exchange. The company's shares are also listed on the Moscow Interbank Currency Exchange and the Moscow Stock Exchange. Parent AFK Sistema Group holds a 71.1% stake and there is an 18% free float. Sistema-Hals is one of the largest companies by capitalisation operating in the real estate markets of central and Eastern Europe.
Since starting operations in 1994, Sistema-Hals has successfully completed more than 30 projects with a total area in the region of 300,000 square metres, including the headquarters of DaimlerChrysler, the Hals Tower office building, the headquarters of Trubnaya Metallurgical Company and a hotel for the MaMaison chain (Orco Property Group).
At present Sistema-Hals is constructing the Leningradsky Towers complex, which comprises two buildings, one of which will be the headquarters of Siemens in Moscow. It is also carrying out a complex redevelopment of the property portfolio of Moscow City Telephone Network, rebuilding the Hotel Peking and the flagship Detsky Mir toy store near Lubyanka Square, and pursuing a series of other projects.
Sistema-Hals has assembled a balanced and diversified portfolio of assets in fast-growing sectors of the market. The company strategy is focused on building Class A and B office space, mixed-use retail and office complexes, business-class homes, residential estates and land development.
Cushman & Wakefield valued the Sistema-Hals share of properties and projects in its portfolio at USD 3,768 million as at 1 July 2008.
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