Completion of Disposal & Prof

RNS Number : 8769K

Carpathian PLC

30 December 2008

 



PRESS ANNOUNCEMENT
30 December 2008
Carpathian PLC ('Carpathian' or the 'Company')
COMPLETION OF DISPOSAL OF VARYADA AND PROFIT CALCULATION

Following the announcement on 24 December 2008 of an exchange of contracts on the sale of the Varyada Shopping Centre ('Varyada') for £46.7 million, the Company can confirm that legal completion has now taken place. The implied yield on disposal is approximately 7.1%. The property was acquired in November 2005 for £25.5 million and was subsequently refinanced in March 2007, with £35 million of debt owed at the time of completion.

Following the disposal, the final realised profit for the Company at SPV level will be provided in due course once prior year accounting information has been reviewed. The profit will be calculated over the lifetime of the Company's ownership of Varyada and will include profits generated from refinancing the asset in March 2007. The Company expects to announce a profit figure associated with the sale of Varyada in January 2009. Nonetheless, the net cash proceeds following completion remain £10.8 million. This figure remains subject to final completion accounts being drawn up, with any final adjustments not expected to be material.

- Ends -

Enquiries:
Carpathian PLC	Via Redleaf Communications
Rory Macnamara (Non-executive Chairman)
Carpathian Asset Management Limited	020 3178 2892
Paul Rogers
Collins Stewart Europe Limited	020 7523 8000
Bruce Garrow
Redleaf Communications	020 7566 6700
Emma Kane Samantha Robbins	[e-mail]

Notes to Editors:

-	Carpathian was created in 2005 for the purpose of investing in Central and Eastern European commercial real estate.
-	Carpathian's primary focus is on shopping centres, supermarkets and retail warehousing in several countries in Central and Eastern Europe being currently Croatia, the Czech Republic, Hungary, Poland, Romania, Lithuania and Latvia..
-	Carpathian listed on AIM in July 2005 and has acquired a substantial property portfolio of approximately £650 million (approximately €810 million).
-	Carpathian Asset Management Limited ('CAM') is the Property Investment Adviser to Carpathian. It is responsible for identifying acquisition targets, managing transactions and portfolios and development activity within Central and Eastern Europe. The Company holds a 50 per cent. interest in CAM, the remaining 50 per cent. of which is held by UK Real Estate Management Limited (a company wholly owned by Paul Rogers and Massimo Marcovecchio).

 

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