Renegotiation of sterling loan facility

 

TIDMREO TIDMREOP 
 
RNS Number : 2871S 
Real Estate Opportunities PLC 
07 September 2010 
 

 
                          Real Estate Opportunities plc 
Renegotiation of sterling loan facility agreements relating to Battersea Power 
Station 
The Company reported in its annual report and accounts published on 23 June 2010 
that the group's  sterling loan facilities, in respect of which a loan to value 
covenant was breached as at 28 February 2010, had been renegotiated, subject to 
completion of legal documentation.  The Company is pleased to announce that the 
documentation has now been completed and executed. 
 
Accordingly, on terms agreed with the lenders, the group's GBP225 million power 
station facility with Bank of Scotland plc and The Governor and Company of the 
Bank of Ireland (on behalf of the National Asset Management Agency) and GBP37.55 
million site assembly facility with Bank of Scotland plc have been extended to 
31 August 2011 and all existing breaches been waived.  The agreement is 
conditional on the Company (i) effecting a compromise by 1 October 2010 with the 
holders of the GBP150 million series A and series B loan notes including in 
relation to all principal and interest ; and (ii) effecting a compromise by 29 
October 2010 with the holders of the cumulative unsecured loan stock. Under the 
facility agreements, the group will also need to effect a compromise with the 
holders of the zero dividend preference shares issued by REO Securities Limited. 
As previously announced, negotiations are ongoing with these parties and a 
further announcement will be made in due course. 
 
Ray Horney, Chairman of Real Estate Opportunities, commented: 
"We are delighted to have completed the renegotiation of this loan facility with 
new terms which are consistent with our announcement in June. We would like to 
thank our lenders for their ongoing support, which we believe reflects their 
commitment to our development proposals for Battersea Power Station. Our 
development plans are progressing well and we look forward to updating the 
market on the planning process in the near future." 
                                  -     END - 
For further information please contact: 
 
Contact: 
Real Estate Opportunities plc 
Ray Horney, Chairman 
Tel: + 44 (0)1273 775 225 
 
Matrix Corporate Capital 
Paul Fincham 
Tel [phone] 
 
Goodbody Stockbrokers 
 Linda Hickey, Corporate Broking 
 Tel [phone] 
6017 
 
Finsbury 
Gordon Simpson/Ed Simpkins 
Tel: [phone] 
 
Murray Consultants 
Ed Micheau 
Tel: + 353 1 498 0300 
 
 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
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