Hansteen Holdings plc Hansteen sells IMPT portfolio for £116 million (8503D)

TIDMHSTN TIDMWHR

RNS Number : 8503D

Hansteen Holdings plc

05 February 2018

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN OR INTO ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF THAT JURISDICTION

5 February 2018

Hansteen Holdings PLC

("Hansteen" or the "Company")

Hansteen sells Industrial Multi Property Trust portfolio for GBP116 million

Hansteen (LSE: HSTN), the investor in UK industrial property, announces that it has agreed to dispose of the Industrial Multi Property Trust portfolio (the "Portfolio") for GBP116 million to an entity owned by Warehouse REIT plc (LSE: WHR) (the "Buyer"). The Buyer will acquire the IMPT Portfolio through the sale and purchase of certain subsidiaries of Industrial Multi Property Trust Limited (the "Transaction").

Hansteen acquired the Portfolio through its successful offer for IMPT plc which was declared wholly unconditional on 25 April 2017. The Portfolio consists of 51 UK multi-let properties offering c.500 leasable units with a total floor area of approximately 1.65 million sq ft and a passing rent roll of GBP8.0 million per annum at 30 June 2017. The contracted rent roll is currently circa GBP8.5 million per annum. Approximately 93% by floor area is invested in light industrial property and 7% in workspace and offices.

The Portfolio is being sold on a debt free basis for cash, and the value attributed to the portfolio is GBP116 million payable upon completion of the Transaction, which is expected to occur at the end of March 2018. There are no conditions to completion.

Commenting on the Transaction, Ian Watson and Morgan Jones, Joint Chief Executives of Hansteen, said: "In line with our intentions set out in the original IMPT offer document dated 22 February 2017, we absorbed the Portfolio into our UK property asset management platform and were in the process of successfully increasing the occupancy and income across the portfolio. However, during the successful implementation of this strategy, we received an unsolicited approach from Warehouse REIT to acquire the Portfolio at a level which provides a return in excess of our initial expectations and which we were willing to accept. In the short term we plan to use part of the proceeds to reduce the balance on our revolving debt facility. Going forward the Board will consider new acquisition opportunities or distributions to Shareholders."

Enquiries:

 
 Hansteen Holdings PLC     Tel: +44 (0) 
  Ian Watson                20 7408 7000 
  Morgan Jones 
 Peel Hunt (Sole Broker)   Tel: +44 (0) 
  Capel Irwin               20 7418 8900 
  Edward Fox 
 Tavistock                   Tel: +44 (0) 
  Jeremy Carey               20 7920 3150 
  Kirsty Allan              07836 734 625 
                            07824 393 242 
 
 
 
 

Important notices

This announcement contains inside information.

This announcement does not constitute or form part of, and should not be construed as, an offer, solicitation or invitation to subscribe, for, underwrite or otherwise acquire, any securities of the Company or any member of its group in any jurisdiction or an inducement to enter into investment activity.

The release, publication or distribution of this announcement in jurisdictions other than the United Kingdom may be restricted by law and therefore any persons who are subject to the laws of any jurisdiction other than the United Kingdom should inform themselves about, and observe, any applicable requirements. This announcement has been prepared for the purposes of complying with the Listing Rules and the information disclosed may not be the same as that which would have been disclosed if this announcement had been prepared in accordance with the laws and regulations of any jurisdiction outside of England and Wales.

Forward-looking statements

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They appear in a number of places throughout this announcement and include statements regarding the directors', the Company's and the Group's intentions, beliefs or current expectations concerning, among other things, the Group's result of operations, financial condition, prospects, growth strategies and the industries in which the Group operates. By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances. A number of factors could cause actual results and developments to differ materially from those expressed or implied by the forward-looking statements, including without limitation: conditions in the markets, market position of the Group, earnings, financial position, cash flows, return on capital, anticipated investments and capital expenditures, changing business or other market conditions and general economic conditions. These and other factors could adversely affect the outcome and financial effects of the plans and events described in this announcement.

Forward-looking statements contained in this announcement based on past trends or activities should not be taken as a representation that such trends or activities will continue in the future. However, these forward-looking statements and other statements contained in this announcement regarding matters that are not historical facts involve predictions. No assurance can be given that such future results will be achieved.

Neither the Company nor any member of the Group undertakes any obligation to update publicly or revise any of the forward-looking statements, whether as a result of new information, future events or otherwise, save in respect of any requirement under applicable laws and regulations, the Listing Rules, the Prospectus Rules, the Disclosure and Transparency Rules, the EU Market Abuse Regulation and the City Code on Takeovers and Mergers.

Rounding

Certain figures in this announcement have been subject to rounding adjustments. Accordingly, any apparent discrepancies in tables between the totals and the sums of the relevant amounts are due to rounding.

Other

No statement in this announcement is intended as a profit forecast or profit estimate.

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February 05, 2018 02:00 ET (07:00 GMT)