RNS Number : 9982H
Metro Baltic Horizons PLC
04 March 2010
Metro Baltic Horizons plc (MET.L)
("the Company")
Debt equity swap-Metro Plaza, Tallinn, Estonia
Metro Baltic Horizons plc ('Metro' or the 'Company'), the property investment company focused on prime office, retail and residential development opportunities in St Petersburg, Russia and the cities of Riga, Latvia and Tallinn, Estonia , announces that it has entered into an agreement for the conversion of certain, non-bank , current liabilities totalling EUR0.97m in Focus Kinnisvara OU ('Focus') ,Metro's wholly owned subsidiary whose principal asset is the Metro Plaza development in Tallinn, into a 19.3% shareholding in Focus.
As previously announced, Metro Plaza comprises 8,900 sq m gross of retail and office floor space (7,300 sq m net area), as well as underground parking for 78 cars, in the very centre of Tallinn. Metro Plaza, which was completed in January 2009, is currently achieving amongst the highest rents in Tallinn and is operating on a cash flow positive basis with approximately 84% occupancy. Other than Metro Plaza and a loan facility of circa EUR14m used to finance the construction of Metro Plaza, there are no other assets or liabilities in Focus other than normal trade payables/receivables.
As at 31 December 2009, Metro Plaza was valued by Colliers at EUR17.9m which compares to an implied valuation of EUR19m post share issue. Metro now holds an 80.7% interest in Metro Plaza through Focus, but retains full flexibility as to the strategy to maximise the value of the development for the Company's shareholders.
The Company expects to release its results for the year ended 31 December 2009 in Q2 2010 in line with the Company's normal reporting schedule.
For further information, please contact:
Metro Group
James Kenny: jkenny@metro.ee
Mart Habakuk: mart.habakuk@metro.ee
Fairfax IS PLC(Nominated Adviser and Broker)
James King/Andrew Cox
Tel: +44 (0) 20 7598 5368
Notes to Editors
Metro Baltic Horizons (ticker code: MET.L) is a property investment company targeting development opportunities in the cities of St Petersburg, Russia and Riga and Tallinn, the capitals of Latvia and Estonia respectively. The Company's Investment Manager is a member of the Metro Capital Management Group, an experienced property asset manager and developer with offices in Riga, Tallinn and St Petersburg. It has a team of 18 experienced professionals managing a portfolio of 21 projects across the region where it has been active since 2001.
This information is provided by RNS
The company news service from the London Stock Exchange
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