Arcona Property Fund N.V. Agreement Update

About this update from Secure Property Development & Investment Plc

[{"type":"text","content":"\n \nRNS Number : 0499A Secure Property Dev & Inv PLC 24 May 2019  \n\nSecure Property Development & Invest PLC/ Index: AIM / Epic: SPDI / Sector: Real Estate\n24 May 2019\nSecure Property Development & Investment PLC ('SPDI' or 'the Company')\nArcona Property Fund N.V. Agreement Update\n \nSecure Property Development and Investment PLC (AIM: SPDI), the AIM-quoted South Eastern European focused property company, is pleased to provide an update on the sale of its Non-Greek assets to Arcona Property Fund N.V. ('Arcona').  \n \nAs announced on 18 December 2018, SPDI has entered into a conditional implementation agreement (the 'Agreement') for the sale of its property portfolio, excluding its Greek logistics properties ('the Non-Greek Portfolio') ('the Transaction'), to Arcona, an Amsterdam-listed company that invests in commercial property in Central Europe.  The all-share Transaction values SPDI's Non-Greek Portfolio at €29.25 million (based on a net asset value of €13.98 per Arcona share), an approximate 150% premium to the current market capitalisation of the Company. \n \nAs announced on 28 March 2019, mutual due diligence is underway, as is the finalisation of the 2018 annual financial accounts for both companies, including the necessary third party property valuations.  Based on the latest discussions, the parties expect to agree binding terms for part of the Transaction, conditional on, inter alia, SPDI shareholder approval, if required at that time, for the Transaction pursuant to the AIM Rules, including the expected distribution of the new Arcona shares to SPDI shareholders, in June 2019, with overall completion of the Transaction planned in two further steps to be executed within H2 2019. \n \nThe Transaction is subject to, among other things, asset and tax due diligence (including third party asset valuations) and regulatory approvals (including the approval of a prospectus required in connection with the issuance and admission to listing of the new Arcona shares) as well as successful negotiating and signature of transaction documents.  Due diligence is well advanced and to date no issues have been uncovered that would obstruct the successful completion of the Transaction.  \n \nMichael Beys, Chairman, said; \"As we progress towards completing the Arcon...

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