LONDON (Alliance News) - Plaza Centers NV Thursday said it has successfully sold its shopping and entertainment centre, Kragujevac Plaza in Serbia, for EUR38.6 million.
The developer of shopping and entertainment centres said it will receive net cash of around EUR10.4 million from the disposal, following the repayment of a related bank debt of around EUR28.2 million.
It said it will distribute the proceeds to the company's bondholders in the fourth quarter, as an early repayment of its bonds.
"Following the successful conclusion of our restructuring plan earlier this year, we are pleased to be able to execute this realisation significantly ahead of our expected disposals schedule which anticipated selling Kragujevac Plaza in 2016, thereby providing our bondholders with an early repayment from the proceeds of this sale," said President and Chief Executive Ran Shtarkman in a statement.
The shopping centre, which is 99% leased, was opened in March 2012.
The company's stock was untraded Thursday morning at 6.75 pence.
By Rowena Harris-Doughty; rowenaharrisdoughty@alliancenews.com; @rharrisdoughty
Copyright 2014 Alliance News Limited. All Rights Reserved.
Plaza (PLAZ)