Business
UPDATE RE THE TERM SHEET TO SELL PLOT IN CHENNAI
UPDATE RE THE TERM SHEET TO SELL PLOT IN CHENNAI.
About this update from Plaza Centers N.v.
[{"type":"text","content":"\n \nRNS Number : 1147C Plaza Centers N.V. 13 June 2019 \n\n \nJune 13 2019\n \n \nPLAZA CENTERS N.V.\n \nUPDATE REGARDING THE TERM SHEET TO SELL THE PLOT IN CHENNAI, INDIA\n \nPlaza Centers N.V. (\"Plaza\" or the \"Company\") announced today, further to its press release dated March 4, 2019, regarding the termination of the Joint Development Agreement (\"JDA\") and the Term Sheet between Elbit Plaza India Real Estate Holdings Limited (a subsidiary held by the Company (50%) and Plaza Centers N.V. (50%)) (\"EPI\") and the purchaser (the \"Purchaser\") regarding a 74.7 acre plot in Chennai, India held by an SPV subsidiary of EPI, a transaction with total consideration of approximately Euro 13.5 million (INR 108 crores) (Plaza part approximately EUR 6.75 million) (the \"Consideration\"), that the parties have signed a share purchase agreement (\"SPA\") according to which:\na. The Purchaser has paid a deposit of INR 5 crores (approximately Euro 0.625 million) in order to provide the Purchaser with an additional six months to complete the closing, which may be extended by another month upon payment by the Purchaser of an additional deposit of INR of 5 crores. As of this date, the Purchaser has deposited a total of INR 15 crores (approximately Euro 1.875 million) (the \"Deposits\"). \nb. If the Purchaser is unable to complete the closing within the aforesaid time periods, then the parties will mutually appoint an international real estate consulting firm for the purpose of identifying a third-party buyer within a period of six months.\nc. If the Purchaser is unable to complete the closing and no third-party buyer is found within the aforesaid time periods, both the JDA and SPA shall be terminated, subject to the Purchaser receiving the Deposits. However, the Purchaser will not be entitled to reimbursement of expenses incurred by it under the JDA.\nd. Any final price received from a third-party buyer above the Consideration will be shared 67% by the Purchaser and 33% by EPI. The Consideration is subject to adjustment with respect to the Deposits and the existing cash in the SPV.\ne. The Consideration will be remitted in Euro at the base rate already agreed upon by the parties. Foreign exchange loss arising...