European Real Estate Inv Tst Ltd Return of capital and cancellation of listing (1791N)

TIDMERET

RNS Number : 1791N

European Real Estate Inv Tst Ltd

07 August 2017

7 August 2017

European Real Estate Investment Trust Limited ("the Company")

Return of capital and cancellation of listing

Further to the announcement made on 5 July 2017, and in line with the approval given by the Company's shareholders of the winding down proposals (as described in the Circular to shareholders on 12 July 2011), the Company today announces that it will return GBP6.0 million (equivalent to 147 pence per share) on 24 August 2017 (the "Redemption Date") by way of a compulsory partial redemption of shares (the "Ninth Redemption").

The Ninth Redemption will be effected at the estimated unaudited liquidation Net Asset Value per share as at 30 June 2017 of 165 pence per share, which is an unaudited estimate and will vary in part contingent on the sterling euro exchange rate. Any liquidation and running costs associated with the structure are estimated and included in the estimated, unaudited liquidation NAV. The Ninth Redemption will be effected pro rata to holdings of shares on the register at the close of business on the Redemption Record Date, being 24 August 2017. On this basis 89.21 per cent. of the Company's issued share capital will be redeemed on the Redemption Date.

The Company has retained sufficient assets which will be used to liquidate the Group structure, meet all contractual agreements and commitments for 2017 and finalise the Company's tax affairs in 2018 and 2019. The Company will continue its appeal in the French courts relating to a EUR2.2 million tax payment made in 2015, no date has been set for the court hearing. However the results of this claim and any potential proceeds therefrom are at this time uncertain and no value has been attributed to the claim in the estimated unaudited liquidation Net Asset Value.

Details of Ninth Redemption

Fractions of shares will not be redeemed and so the number of shares to be redeemed for each shareholder will be rounded down to the nearest whole number of shares.

The amount to be applied to the partial redemption of shares comprises monies from the Company's existing cash balances. As at today's date, the Company has 4,088,336 shares in issue, of which none are held in treasury.

All shares that are redeemed will be cancelled with effect from the Redemption Date. Accordingly, once redeemed, shares will be incapable of transfer.

The shares that are redeemed will be disabled in CREST after close of business on the Redemption Date and the existing ISIN number GG00BF7LFN84 (the "Old ISIN") will expire.

The new ISIN number GG00BF4GC916 (the "New ISIN") in respect of the remaining shares which have not been redeemed will be enabled and available for transactions from and including 25 August 2017.

Up to and including the Redemption Date, shares will be traded under the Old ISIN and as such, a purchaser of such shares would have a market claim for a proportion of the redemption proceeds. CREST will automatically transform any open transactions as at the Redemption Date into the New ISIN.

For the avoidance of doubt, any shares purchased up to and including on the Redemption Date will be entitled to a proportion of the redemption proceeds, regardless of whether the transaction has settled in CREST by the Redemption Date.

Cancellation of listing

The Board intends to apply to both the Financial Conduct Authority for the cancellation of the standard listing of the Company on the Official List and to the London Stock Exchange to cancel the admission to trading of its shares on the Main Market, expected to take effect on 2 October 2017. The last day of trading is therefore expected to be 29 September 2017. Shareholders should consult with their own independent financial adviser and/or broker should they wish to consider selling their interests in the market prior to the cancellation becoming effective.

Thereafter, the Company expects to appoint a liquidator by the end of the year, with the intention to make a further capital redemption before 31 December 2017, should any current surplus cash remain within the Company.

Expected timetable:

Redemption Record Date, Redemption Date and expiry of old ISIN number 24 August 2017

New ISIN number enabled 25 August 2017

   Redemption monies paid (expected) uncertificated and                              31 August 2017 

certificated holdings:

Cancellation of listing 2 October 2017

Enquiries:

Computershare Investor Services PLC

Shareholder Helpline Phone: [phone]

Praxis Fund Services Limited

Shona Darling Phone: [phone]

Cenkos Securities plc

Will Rogers Phone: [phone]

Alex Collins Phone: [phone]

Schroder Real Estate Investment Management Ltd

Tony Smedley Phone: [phone]

This information is provided by RNS

The company news service from the London Stock Exchange

END

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August 07, 2017 02:00 ET (06:00 GMT)