18 Aug 2016 10:30
For immediate release 18 August 2016
LXB RETAIL PROPERTIES PLC
(the "Company" or the "Group")
Disposal of investment at Kingsmead Stafford
LXB Retail Properties Plc, the Jersey resident closed-ended real estate investment company focused on edge of town and out of town retail assets, is pleased to report that it has exchanged contracts for the unconditional sale of its investment at Kingsmead Stafford to Triple Jersey Limited, a private investment vehicle.
The Group has previously exchanged an agreement with WM Morrison Supermarkets plc to surrender its leasehold interest in the Kingsmead site and completion of the surrender will take place simultaneously with completion of the sale. The proceeds from these two transactions, net of £21.8 million bank debt in relation to Kingsmead, total £4.2 million. Completion is scheduled to occur on 24 August 2016, at which time the net proceeds will be available to be returned to shareholders. A further announcement on that will be made in due course. The overall net impact of these transactions is expected to be a loss of less than 1p per share.
The Group remains committed to deliver practical completion of the final part of Kingsmead and this is expected to be achieved on 12 September 2016.
Commenting on the transactions Tim Walton, CEO of LXB Adviser LLP, said:
"I am pleased that the Group has been able to swiftly resolve the situation at Kingsmead and to the satisfaction of all parties. These transactions remove a major element of uncertainty around shareholder returns and take the Group one step closer to the completion of the mandate given to the Board by shareholders in February of this year."
For further information please contact:
LXB Adviser LLP Tel: 020 7432 7900
Tim Walton, CEOBrendan O'Grady, FD
J.P. Morgan Cazenove (NOMAD) Tel: 020 7742 4000
Bronson Albery/Paul Hewlett
Buchanan Tel: 020 7466 5000
Charles Ryland/Victoria Hayns/Patrick Hanrahan