29 Nov 2016 18:10
THIS ANNOUNCEMENT IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION
IN OR INTO THE RUSSIAN FEDERATION, THE UNITED STATES, CANADA, AUSTRALIA OR JAPAN
AFI DEVELOPMENT PLC
("AFI DEVELOPMENT" OR THE "COMPANY")
UPDATE ON THE LOAN FACILITY AGREEMENTS
London, 29 November 2016 - Further to the Company's announcement on 28 September 2016, on the agreement between the Company and Bank VTB PJSC ("VTB") to amend the terms of the loan facility agreements, the Company provides the following update to the market.
On 28 November 2016 the Company and VTB have executed additional addenda to the Krown Investments LLC ("Krown") and Bellgate Constructions Limited ("Bellgate") loan facility agreements providing for a 30 day extension to the deadline for execution of the outstanding security documents (which had to be executed within 60 days from the execution date of the initial amending agreements), under both loan facility packages. The Company and VTB have also entered into technical addenda to the existing share pledge, surety and mortgage agreements.
The extension is related to the significant amount of legal work required for preparation of the new agreements by VTB. The Company expects all outstanding documents to be executed by the new deadline.
The pledges over the equipment used to operate the Kossinskaya project shall be part of the Kossinskaya mortgage and secondary ranking mortgage agreements and shall not be executed as separate agreements.
The Company will update the market when the outstanding security agreements are executed.
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For further information, please contact:
AFI Development, +7 495 796 9988
Ilya Kutnov, Corporate Affairs/Investments Director (Responsible for arranging the release of this announcement)
Citigate Dewe Rogerson, London +44 20 7638 9571
David Westover
Sandra Novakov
This announcement contains inside information.
About AFI Development
Established in 2003, AFI Development is one of the leading real estate development companies operating in Russia.
AFI Development is listed on the Main Market of the London Stock Exchange and aims to deliver shareholder value through a commitment to innovation and continuous project development, coupled with the highest standards of design, construction and quality and customer service.
AFI Development focuses on developing and redeveloping high quality commercial and residential real estate assets across Russia, with Moscow being its main market. The Company's existing portfolio comprises commercial projects focused on offices, shopping centers, hotels and mixed-use properties, and residential projects. AFI Development's strategy is to sell the residential properties it develops and to either lease the commercial properties or sell them for a favorable return.
AFI Development is a leading force in urban regeneration, breathing new life into city squares and neighborhoods and transforming congested and underdeveloped areas into thriving new communities. The Company's long-term, large-scale regeneration and city infrastructure projects establish the necessary groundwork for the successful launch of commercial and residential properties, providing a strong base for future.