Public Service Properties Inv Ltd Sale of asset (6994N)

TIDMPSPI

RNS Number : 6994N

Public Service Properties Inv Ltd

02 February 2016

2 February 2016

Public Service Properties Investments Limited

("PSPI", the "Group" or the "Company")

Sale of asset

PSPI (AIM: PSPI), the specialist European real estate investment and financing company is pleased to announce that it has exchanged binding contracts to dispose of its Brakel care home property for a gross price of EUR3.0 million. The sale was executed with a company owned by the same beneficial owner as the tenant at Brakel, was concluded under German law and is expected to close within six weeks on completion of re-registration of the property in the appropriate land registry. The asset was sold at the same value used in preparing the Company's unaudited consolidated results as at 30 June 2015.

As there was no debt secured against the property, the Group will apply the sale proceeds to settle transaction costs (estimated at EUR0.1 million) with the balance to be used for general working capital purposes pending a proposed return of capital to shareholders. A further announcement will be made in due course.

The Company continues to test the market for its three remaining care homes in Germany.

Patrick Hall, the Chairman of PSPI, reports that:

"The Company is pleased to announce a further disposal after a period of protracted negotiation. The Company will make announcements on progress of any further disposals, as and when it is appropriate."

For further information please visit www.pspiltd.com or call:

 
 Dr. D. Srinivas       Ben Mingay               Tom Griffiths 
  Ralph Beney           Sylvester Oppong         Henry Willcocks 
 
 
  RP&C International    Smith Square Partners    Stockdale 
  (Asset Manager)       (Financial Adviser)      Securities 
  020 7766 7000         0203 696 7260            (Nomad and 
                                                 Broker) 
                                                 020 7601 6100 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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February 02, 2016 02:00 ET (07:00 GMT)