Arricano Real Estate PLC Repayment Extension (9283J)
July 03 2017 - 5:31AM
UK Regulatory
TIDMARO
RNS Number : 9283J
Arricano Real Estate PLC
03 July 2017
3 July 2017
Arricano Real Estate plc
("Arricano" or the "Company")
Repayment Extension
Arricano (AIM: ARO) has agreed to amend the repayment terms of
an existing loan agreement between Arricano and Retail Real Estate
OÜ ("RRE OÜ"). The details of the deed of amendment (the
"Transaction") are set out below.
In May 2014 the Company and Bytenem Co Limited ("Bytenem")
agreed the terms of a loan facility of US$13.1m and an additional
US$3.0 million loan was provided by Bytenem to the Company in July
2014. In September 2016, the loan facility, which had a maturity
date of 30 June 2017 (following previous extensions) and an
interest rate of 12% per annum, was increased to a maximum of
US$18.0 million and was assigned to RRE OÜ (the "RRE OÜ Loan").
The Company has entered into a deed of amendment with RRE OÜ to
further extend the maturity date of the RRE OÜ Loan (outstanding
principal US$16.1 million plus accrued interest of approximately
US$6.2 million) to 30 June 2020. No other terms or conditions of
the RRE OÜ Loan have been changed.
The Transaction enhances the Company's working capital resources
over the period before the loan becomes payable in June 2020.
Related Party Transaction
RRE OÜ is ultimately controlled by Hillar Teder who is the
Company's majority shareholder and, therefore, is a "Related Party"
under the AIM Rules for Companies. Consequently, the Transaction is
considered to be a Related Party Transaction under AIM Rule 13. The
independent directors of the Company (Rupert Cottrell, Philip
Scales and Michael Zampelas) consider, having consulted with its
nominated adviser, that the terms of the Transaction are fair and
reasonable insofar as its shareholders are concerned.
For further information please contact:
CEO: Tel: +380 44 569 6708
Arricano Real Estate plc
Mykhailo Merkulov
Financial PR:
Novella Communications Limited Tel: +44 (0)20 3151
Tim Robertson/Toby Andrews 7008
Nominated Adviser and Joint Broker:
Smith & Williamson Corporate Tel: +44 (0)20 7131
Finance Limited 4000
Azhic Basirov
Joint Broker:
Whitman Howard Limited Tel: +44 (0)20 7087
Ranald McGregor-Smith 4555
This information is provided by RNS
The company news service from the London Stock Exchange
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