DUPD.L Regulatory News (DUPD)

11 Sep 2007 12:35

Dragon-Ukrainian Prop. & Dev. PLC11 September 2007 11 September 2007 Dragon - Ukrainian Properties & Development Plc (the "Company" or "DUPD") $10.75 million Investment in Hindale Executive Investments Limited Dragon - Ukrainian Properties & Development Plc, one of the largest AIM-listedreal estate investment companies focused on investments in Ukraine, managed byDragon Capital Partners Limited ("DCP"), is delighted to announce that itswholly onwned subsidiary, Landzone Ltd, has entered into a ShareholdersAgreement with Bartin Management Corp. Under the Shareholders' Agreement, itwill acquire a 50.01% in Hindale Executive Investments Limited ("Hindale"), acompany formed to develop a shopping center on a 1.2 hectare land plot onKomarova Ave in Kyiv. DUPD's total cash consideration is US $10.75 million.Bartin Management Corp is controlled by Tiko Construction, a local developerwhich is sponsoring the project. This project is in line with the investment strategy of DUPD, having its corefocus on the development and re-development of commercial and residential realestate in Kyiv and other main regional centers of Ukraine. Highlights: • The Company has agreed to acquire 3,310 new ordinary shares in Hindale, aCyprus-incorporated company, through a number of subscriptions, for the totalcash consideration of US $10.75 million. DUPD will maintain the shareholding of50.01% in Hindale throughout the life of the project; • The partner of DUPD in this project is Tiko Construction, a local developerwhich is well known to DCP, with experience in the development of commercialproperties in Kyiv; • The project entails development of a community shopping center in Vidradny,a residential district of Kyiv with the total area of approx. 45,000 sqm, on aleased 1.2 hectare land plot which has zoning permissions appropriate for theproject; • The center is to be anchored by a large supermarket and entertainment zone,with the remaining premises leased to national and international retailers; • The Directors believe that the shopping centre will open at the end of2009-beginning of 2010. Aloysius Van der Heijden, Chairman of DUPD said: "DUPD is pleased to announceits first project in the retail development market - one of the most rapidlygrowing sectors of the Ukrainian economy. We look forward to bringing a qualityproduct to the market which reaches western standards. We are also activelyseeking similar opportunities in this sector". Chris Kamtsios, Managing Director of DCP said: "The volume of quality supply inthe shopping-centers market of Kyiv remains low, while in our view, theannounced pipeline of new projects is distant and uncertain. We believe thatUkrainian households' incomes are steadily growing and thus, see great potentialfor such type of developments in the city. Unlike many existing retail schemesin Kyiv, this shopping centre will have convenient access for shoppers and willhave a highly professional architectural and marketing emphasis. It will be thefirst shopping center in Vidradny reaching western standards therefore, DCPbelieves it will become very popular, for both retailers and local shoppers". --- ends --- For further information, please contact: Dragon Ukrainian Properties & Development PlcTomas Fiala+380 44 490 7120 Dragon Capital Partners LimitedChris Kamtsios: +380 44 490 7120 Zimmerman Adams InternationalRay Zimmerman/Jonathan Evans+44 20 7060 1760 Notes to Editors About Dragon- Ukrainian Properties & Development Plc DUPD is an Isle of Man incorporated company formed to invest in the developmentof new commercial properties and re-development of existing properties inUkraine which offer the prospect of attractive returns to its shareholders.Having raised US$ 208 million at US$2 per share, DUPD's ordinary shares wereadmitted to trading on the AIM market of the London Stock Exchange on 1 June2007. About Dragon Capital Partners DCP is the private equity arm of Dragon Capital, a leading Ukrainian financialinstitution specialising in the provision of investment banking, securitiestrading, asset management and private equity services. Dragon Capital hasreceived the "Best Equities House in Ukraine" award in 2002, 2004, 2005, 2006and 2007 by "Euromoney", a leading financial journal. DCP professionals combine extensive local knowledge and expertise gained throughsubstantial investment activity in the Ukrainian private equity market accross awide spectrum of industries, including real estate. This information is provided by RNS The company news service from the London Stock Exchange