Business
Placing, acquisition and notice of GM
Placing, acquisition and notice of GM.
About this update from Palace Capital Plc
[{"type":"text","content":"\n \nRNS Number : 5774P Palace Capital PLC 02 October 2013 \n \n\nPalace Capital plc\n(\"Palace Capital\" or the \"Company\")\n \nProposed Acquisition, Placing of New Ordinary Shares,\npublication of Admission Document and Notice of General Meeting\n \nThe Board of Palace Capital is pleased to announce the proposed acquisition of the Sequel Portfolio from Quintain Estates & Development PLC (the \"Acquisition\") and the £23.5 million placing of new ordinary shares (the \"Placing\").\n \nHighlights\n \n· The Sequel Portfolio consists of 24 mixed use commercial properties in England and Wales.\n· Total consideration of £39.25 million¹ being financed by the placing of New Ordinary Shares to raise £23.5 million (before expenses) and a £20.0 million debt facility from Nationwide. \n· The Directors and Proposed Director are committing to subscribe for, in aggregate, circa £3 million of Placing Shares in the Placing.\n· Current net rent receivable from the Sequel Portfolio is circa £5.2 million, which based on the consideration payable, equates to a yield of approximately 13.2 per cent.\n· The individual properties in Sequel Portfolio have been valued by Cushman & Wakefield at an aggregate sum of £44.2 million and at £39.7 million on a portfolio basis.\n· The Acquisition constitutes a reverse takeover under the AIM Rules and is conditional upon, inter alia, approval from Shareholders. An admission document containing details of the Acquisition, the Placing, certain other proposals and a notice of General Meeting (the \"Admission Document\") will be posted to Palace Capital Shareholders today and available to view on the Company's website www.palacecapitalplc.com shortly.\n· Management team strengthened with the proposed appointment of Richard Starr as Executive Director.\nNeil Sinclair, CEO of Palace Capital, commented \"We are delighted with the support that we have received from both new and existing Shareholders. This portfolio gives us an excellent platform to deliver substantial returns for S...