Acquisition of Upground Towers

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[{"type":"text","content":"\n \nRNS Number : 8376C Globalworth Real Estate Inv Ltd 20 March 2014  \n \n\nGlobalworth Real Estate Investments Limited\nAcquisition of Upground Towers\nGuernsey, 20 March 2014: Globalworth Real Estate Investments Ltd. (AIM: GWI) (\"Globalworth\" or \"the Company\"), the real estate investment company targeting opportunities in Romania and the broader SEE and CEE regions, is pleased to announce the acquisition of Upground Towers, a modern residential complex in the northern part of Bucharest.\nUpground Towers comprises circa 70,000 sqm of Gross Built Area.  Upground Towers is part of a wider building complex developed by the Founder between 2006 and 2011 which also includes the BOB and BOC office buildings (the Founder Pipeline). Upground Towers primarily targets the demand for good quality residential space from professionals working in the area.  Accordingly, it also comprises a wide range of leisure and food & beverage outlets, including Bucharest's largest gym.\nThe acquisition of Upground Towers took place in accordance with the main terms and conditions of the Upground Acquisition Agreement and the Founder Subscription Agreement, both as disclosed in the Company's admission document (the \"Admission Document\"). \nThe acquisition cost for Upground Estates SRL, the holding SPV of Upground Towers, is Euro 52 million. The equity part of the acquisition cost is being satisfied through (a) the issue of shares of no par value (\"Ordinary Shares\") equal to Euro 13 million at the IPO placing price of Euro 5.00 (that is, 2,600,000 Ordinary Shares), which are being issued as to 1,300,000 shares to Milabrin Limited (a company affiliated to the Founder) and 1,300,000 shares to Tomafer Limited and (b) Euro 500,000 to be paid in cash to each of Milabrin Limited and Tomafer Limited. A loan of Euro 230,000 made by the Founder to Upground Estates SRL is also being repaid in cash on completion. \nApplication will be made to AIM for 2,600,000 Ordinary Shares to be admitted to trading on AIM with this expected to occur on 27 March 2014. Following the above issue, the total issued share capital of the Company will comprise 26,238,857 Ordinary Shares.\n \nFor further information visit www.globalworth.com or contact:  \nEastWest Partners (Financial Adviser)\nDavid Hill      &nbsp...

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