Update on Aurangabad Project (5630R)
November 07 2011 - 2:00AM
UK Regulatory
TIDMWPR
RNS Number : 5630R
West Pioneer Properties Limited
07 November 2011
Press Release 7 November 2011
West Pioneer Properties Limited
("West Pioneer" or "the Company")
Update on Aurangabad Project
West Pioneer Properties Limited (AIM:WPR), a leading developer
and operator of shopping malls and mixed use developments in west
and south India, announces that it has entered into a non-binding
Memorandum of Understanding ("MoU") to develop and sell, subject to
contract, its asset in Aurangabad, India ("Aurangabad") to Golden
Crown Realtors Limited Liability Partnership ("GCR") for a total
cash consideration of approximately $15.2 million. Under the terms
of the MoU, the Company will develop the project in three phases
which will include built up retail space of approximately 148,000
square feet and built up warehousing space of approximately 398,000
square feet as per GCR's requirement on the site prior to
completing the transaction. The cash consideration is expected to
be payable in instalments on completion of each phase over the next
12 months. West Pioneer will fund the construction costs up to a
maximum amount of approximately $2.8 million, with all further
costs being borne by the purchaser.
The proposal to develop and sell the Aurangabad asset follows
the Board's decision to focus efforts and resources on the projects
on which it has the greatest visibility and those which it
considers will generate the most value for shareholders, namely its
mixed use development in Kalyan and its development project in
Nashik. Accordingly, the sale proceeds will be used to accelerate
and expand the existing projects at Nashik and Kalyan.
Aurangabad has a carrying value in the Company's books of
approximately $12.2 million.
A further update will be provided in due course.
-Ends-
For further information:
Evolution Securities Limited, NOMAD
and Joint Broker
Jeremy Ellis / Chris Clarke Tel: +44 (0) 20 7071
4300
Religare Capital Markets plc, Joint
Broker
Tim Davis, Director, Corporate Finance Tel: +44 (0) 20 7444
0539
Daniel Briggs, Director, Corporate Tel: +44 (0) 20 7444
Broking 0503
Media enquiries:
Abchurch Communications
Sarah Hollins / Mark Dixon / Oliver Tel: +44 (0) 20 7398
Baxendale 7729
mark.dixon@abchurch-group.com www.abchurch-group.com
This information is provided by RNS
The company news service from the London Stock Exchange
END
DISBLBDBLXGBGBS
West Pioneer (LSE:WPR)
Historical Stock Chart
From Aug 2024 to Sep 2024
West Pioneer (LSE:WPR)
Historical Stock Chart
From Sep 2023 to Sep 2024