Secure Property Completes Transfer Of Bulgarian Assets To Arcona

(Alliance News) - Secure Property Development & Investment PLC on Friday said it has transferred ...

Alliance News 6 December, 2019 | 4:56PM
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(Alliance News) - Secure Property Development & Investment PLC on Friday said it has transferred all of its Bulgarian assets to Arcona Property Fund NV.

In turn, the investment company said it will secure 315,591 new Arcona shares and 77,201 warrants.

Based on the closing price of Arcona's shares Thursday, the transfer values the Bulgarian assets at about EUR1.9 million, excluding the issue of the warrants. Meanwhile, based on the current net asset value per Arcona share, the transfer values the assets at EUR4.2 million, also excluding the issue of the warrants.

The Bulgarian assets comprise 34 apartments and two neighbouring plots of land for development in the Boyana suburb of Sofia, Secure Property said.

"The completion of the transfer of the Boyana assets will bring the total number of Arcona shares issued to Secure Property to 593,000 with a current market value of EUR3.7 million, which represents more than a third of our current market capitalisation," said Secure Property Chair Michael Beys.

The transaction follows a transfer of two plots of land in Ukraine in exchange for EUR1.8 million worth of shares in Arcona, which was completed in November.

Both transfers form a part of a larger transfer of Secure Property's portfolio to Arcona, including its logistics properties in Greece, for new Arcona shares.

The final tranche of assets to be transferred as part of a larger transfer comprise Secure Property's remaining Ukrainian assets, the company said.

Looking ahead, Beys added: "We are confident the underlying value of our portfolio of prime real estate in South Eastern European countries will soon be clear for all to see."

Secure Property shares closed flat in London on Friday at 8.75 pence each.

By Evelina Grecenko; evelinagrecenko@alliancenews.com

Copyright 2019 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article

Security Name Price Change (%) Morningstar
Rating
Secure Property Development & Investment PLC 8.50 GBX 3.03 -

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