(Alliance News) - AIM-listed Arricano Real Estate PLC on Wednesday said it has terminated discussions with Dragon Capital Investments Ltd regarding the sale of its shopping and entertainment centres.
At the end of July, the commercial real estate company had entered into non-binding heads of terms with Dragon Capital regarding the sale of Sun Gallery, located in Kryvyi Rih, Ukraine, and City Mall, located in Zaporizhzhia, Ukraine.
However, Arricano said it has developed new strategies for the Sun Gallery and City Mall, which it believes will increase their value and efficiency. As a result, the negotiations with Dragon Capital concerning the sale have been halted.
"We believe that implementation of the refined strategies for these two centres located outside Kyiv is a good opportunity to achieve an increase in their value," said Arricano Chief Executive Ganna Chubotina.
"With the cancellation of the disposal to Dragon Capital, we now look forward to achieving this uplift for the benefit of all of our shareholders," added Chubotina.
Arricano shares were untraded in London on Wednesday morning at USD0.45 each.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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