Business
Conclusion of Strategic Review
Conclusion of Strategic Review.
About this update from Alternative Income Reit Plc
[{"type":"text","content":"\n \nRNS Number : 2924I AEW UK Long Lease REIT PLC 07 August 2019 \n\n \nNOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF THAT JURISDICTION\n \nFOR IMMEDIATE RELEASE\n \nAEW UK Long Lease REIT plc (\"AEWL\" or \"the Group\")\nLEI: 213800MPBIJS12Q88F71\nConclusion of Strategic Review\n \n07 August 2019\n \nThe Board of AEWL today announces the conclusion to its strategic review commenced on 10 April 2019.\nThe Board received several proposals which broadly encompassed a sale of the Group, a variety of merger options and managerial changes. \nAll proposals were reviewed by the Board, in consultation with the Company's financial adviser Cenkos Securities, and a shortlist of interested parties were invited to present their best terms. \nFollowing meetings with each of these parties and consulting with major shareholders, the Board has concluded that none of the proposals reflect the true value of the Group and therefore the Board believes that none of these options are currently in the best interests of shareholders. The Board believes that the proposals, in some instances, undervalued certain of the Group's assets or the interested parties were unable to provide certainty of execution, including the availability of new capital.\nThe Board of AEWL will implement a cost reduction exercise, with the objective of delivering a fully cash covered dividend, at or close to the original dividend target indicated at the time of the Group's IPO, for the entire financial year ending 30 June 2021. \nAs announced on 10 April 2019, the Board has served protective notice of termination of the investment management agreement with AEW UK Investment Management LLP (which is due to expire on 9th April 2020). The Board is exploring options to recruit a property manager to manage the Group's properties following the expiry of AEW UK Investment Management LLP's notice period.\nIn the coming period, the Board, along with the Group's advisers, will continue to seek longer term solutions to expand the Group, including the introduction of new capital, and deliver shareholder value.\nFollowing this announcement, AEWL is no longer considered to be in an \"offer period\" a...