Please find attached the third quarter financial report for Pioneer Property Group ASA (PPG PREF).
Highlights for Pioneer Property Group ASA:
- On 9 October 2019, PPG entered into the Purchase Agreement with Odin Bidco AS regarding the purchase of 100% of the shares in Pioneer Public Properties AS and Pioneer Management from PPG with a total purchase price for the shares of NOK 2 734 million. Closing of the Transaction took place on 24 October 2019.
- A portion of the purchase price was also used to reinvest in Odin Bidco AS, resulting in a 10% equity stake in the company with a preliminary value of NOK 256 million.
- PPG is also entitled to an earn-out of up to NOK 100 million conditional upon the future development of the PPP group.
- Odin Bidco is further owned by a consortium consisting of Australian pension funds managed by Whitehelm Capital and the Whitehelm European Infrastructure Fund I incorporated company.
- Following close of the transaction, the material items on PPG's balance sheet comprises cash of approximately NOK 2 510 million, investments of NOK 256 million and real property of a total value of NOK 10 million.
- The preference shares issued by PPG will not be affected by the transaction and the company will continue to be listed on the Oslo Stock Exchange.
- The company was in compliance with all bank and bond-related financial covenants at the end of the quarter. All of the group's financial liabilities were placed within the PPP group, and transferred to the buyer.
- The sold entities have been classified as being held for sale in the report for the third quarter with a total value of assets held for sale of NOK 5 563 million and liabilities associated with assets held for sale of NOK 3 451 million.
- At the end of the quarter PPG paid quarterly dividend to holders of preference shares in total NOK 1.875 per preference share.
For further information, please contact:
Ole-Kristofer Bragnes, CFO
Telephone: +47 917 03 415
E-mail: IR@pioneerproperty.no