Countryside Properties PLC Framework Agreement with Sigma Capital Group (7816R)

TIDMCSP

RNS Number : 7816R

Countryside Properties PLC

19 June 2018

19 June 2018

Countryside Properties PLC

Framework Agreement targeting delivery of 5,000 homes

Countryside Properties PLC (the "Group"), a leading UK home builder and urban regeneration partner, is today announcing the expansion of its strategic partnership with Sigma Capital Group ("Sigma") through a Framework Agreement that will see the two companies target the delivery of a further 5,000 private rental sector ("PRS") homes over the next three years.

Countryside's relationship with Sigma is well established with an initial agreement between the partners for the delivery of 927 homes signed in December 2014 which was extended to include a further 900 homes in February 2016. During the year to 30 September 2017, Countryside delivered 721 PRS homes for Sigma across the North West of England and the West Midlands.

The new Framework Agreement significantly enhances Countryside's relationship with Sigma and supports the Group's growth plans for its Partnerships business which delivers a mix of private for sale, PRS and affordable homes in mixed tenure communities. This commitment from Sigma will allow Countryside to deliver homes more quickly on larger Partnerships sites within its existing regions of the North West and West Midlands and facilitates Countryside's expansion into the South Midlands, Yorkshire and East Midlands following its recent acquisition of Westleigh.

Ian Sutcliffe, Group Chief Executive of Countryside, commented:

"We have been a long-standing partner of Sigma and are delighted to continue working together.

This new agreement supports the continued expansion of Countryside's Partnerships division and our mixed tenure delivery model. It will allow us to speed up the delivery of homes on larger Partnerships sites and meet the strong demand we are seeing for our product."

Graham Barnet, CEO of Sigma, commented:

"We are delighted to be extending our highly successful relationship with Countryside, one of the UK's leading home builders, which regularly wins awards for its work. This major new agreement targets the delivery of 5,000 high-quality family homes across a number of regions over the next three years - over and above those already built or in process.

There is a structural shortage of housing in the UK, across all tenures, and our unrivalled delivery platform brings together local authorities, home builders and funders with the common aim of creating new, professionally-managed rental homes for families, a largely neglected and growing part of the overall rental market."

   -     Ends - 

Countryside is holding a capital markets day on Wednesday 27 June 2018 which will focus on the Partnerships division. Should you be interested in attending please contact Victoria Prior at [e-mail] for further details.

Enquiries:

Countryside Properties - 01277 260 000

Ian Sutcliffe - Group Chief Executive

Rebecca Worthington - Group Chief Financial Officer

Victoria Prior - Investor Relations & Strategy Director

Brunswick Group LLP - 020 7404 5959

Nina Coad

Oliver Sherwood

About Countryside

Countryside is a leading UK home builder specialising in place making and urban regeneration. For the year ended 30 September 2017, we completed 3,389 homes with revenues of GBP1,028.8m.

Our business is focused on place making, which we deliver through our two divisions, Housebuilding and Partnerships. The Housebuilding division, operating under Countryside and Millgate brands, develops sites that provide private and affordable housing, on land owned or controlled by the Group. Our Partnerships division specialises in urban regeneration of public sector land, delivering private and affordable homes by partnering with local authorities and housing associations.

Countryside was founded in 1958. It operates in locations across London, the South East, the North West of England and the West Midlands. In April 2018, Countryside expanded its Midlands operations with the acquisition of Westleigh Group Ltd which delivered 1,159 homes, of which 92% were affordable, for year ended 31st March 2018.

For further information, visit www.countryside-properties.com.

About Sigma Capital Group plc

(www.sigmacapital.co.uk)

Sigma Capital Group plc is a private rented sector, residential development, and urban regeneration specialist, with offices in Edinburgh, Manchester and London. Sigma's principal focus is on the delivery of large scale housing schemes for the private rented sector. It has a well-established track record in assisting with property-related regeneration projects in the public sector, acting as a bridge between the public and private sectors. Its subsidiary, Sigma PRS Management Limited, is Investment Adviser to The PRS REIT plc.

About Sigma PRS Management Limited

Sigma PRS Management Limited is a wholly owned subsidiary of AIM-quoted Sigma Capital Group plc and is the Company's Investment Adviser. It sources investments and manages the assets of The PRS REIT plc and advises the Alternative Investment Fund Manager ("AIFM") and the PRS REIT on a day-to-day basis in accordance with the PRS REIT's Investment Policy. The Investment Adviser is an appointed representative (reference number: 776293) of the AIFM.

About The PRS REIT plc

(www.theprsreit.com)

The PRS REIT is a closed-ended real estate investment trust established to invest in the Private Rented Sector and to provide shareholders with an attractive level of income together with the potential for capital and income growth. In its Initial Public Offering, on 31 May 2017, the Company raised GBP250 million gross equity capital via a Placing, Offer for Subscription and Intermediaries Offer and today has raised a further GBP250m through an additional Placing. Both fundraisings were supported by the UK Government's Homes England (formerly Homes and Communities Agency), with direct investments totaling c. GBP30 million.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [e-mail] or visit www.rns.com.

END

AGRUWSKRWVANAAR

(END) Dow Jones Newswires

June 19, 2018 02:00 ET (06:00 GMT)