TIDMOCH

RNS Number : 3277J

Orchid Developments Group Ltd

06 August 2012

06 August 2012

AIM: OCH

Orchid Developments Group Limited ('Orchid' or the 'Group')

Extended Credit Facility Secured for Orchid Gardens Varna

Orchid, the Bulgarian focused property developer and investor, is pleased to announce that it has secured a further extension to its credit agreement ("Revised Facility") with UniCredit Bulbank JSC (a division of UniCredit Group) relating to its Orchid Gardens Varna ("Orchid Gardens") development. The Revised Facility (which updates that announced on 11 April 2012) extends the facility term, including the repayment dates, with the facility amount and interest rate remaining unchanged.

Orchid Gardens is a high-end mixed-use development situated on a prime location in Varna city center. The 16-floor development consists of 107 apartments, 88 office units and 48 retail units, all with access to underground parking. Orchid Gardens is in its final stage of completion, which is scheduled for September 2012, slightly later than originally intended.

Under the terms of the Revised Facility, repayment of the principal amount of the facility (EUR21.4 million) is to be made in the following tranches:

   1.    EUR1.2 million by the end of 2012; 
   2.    EUR2.1 million by March 2013; 
   3.    EUR5.1 million by June 2013; 
   4.    EUR5.7 million by December 2013; 
   5.    EUR5.7 million by June 2014; and 
   6.    EUR1.6 Million, payable in 38 monthly payments starting from July 2014 to August 2017.

Additionally, the following conditions have been revised:

1. The facility loan limit drawdown schedule has been extended to 30 August 2012 (allowing a maximum of EUR2.4 million to be drawn before that date).

2. The revolving VAT loan limit (EUR1.2 million) has been extended until 30 August 2012 with a repayment deadline by 30 December 2012.

3. The accrued interest on the amount of EUR0.3 million, on the facility loan and the revolving loan, from June to the end of July 2012 has been deferred and is now due by 30 August 2012, which will be rolled up into the aggregate principal amount due under the Revised Facility.

   4.   All other agreed terms announced in 11 April 2012 remain unchanged.

Commenting on the credit facility, Guy Meyohas CEO of Orchid Developments said:

"Orchid is continuing to market the development whilst focusing on its completion and fit out. Orchid Gardens has already received a healthy level of interest, having secured preliminary agreements on a proportion of the residential and office space."

Ends

 
Contacts: 
Orchid Developments 
 Guy Meyohas                           +35 92 981 9955 
 
 Shore Capital and Corporate Limited 
 Bidhi Bhoma / Toby Gibbs               +44 20 7408 4090 
 
 MHP Communications 
 Reg Hoare / Vicky Watkins              +44 20 3128 8100

Notes to Editors:

Orchid Developments Group Ltd (OCH.L), which listed on the AIM market in July 2005, was established with the aim of generating value for shareholders by investing in real estate and leisure business opportunities initially in Bulgaria.

The company is active in all principal sub-sectors of the Bulgarian real estate and leisure markets and currently holds three residential and six commercial property developments in Sofia and Varna. Its principal investment is the Grand Mall in Varna, a leading shopping mall in Bulgaria.

This information is provided by RNS

The company news service from the London Stock Exchange

END

MSCBKPDPFBKDAFK

Orchid Developments (LSE:OCH)
Historical Stock Chart
From Apr 2024 to May 2024 Click Here for more Orchid Developments Charts.
Orchid Developments (LSE:OCH)
Historical Stock Chart
From May 2023 to May 2024 Click Here for more Orchid Developments Charts.