Hansteen Holdings plc Proposed Return of £145M of Capital & Notice of GM (2188I)
March 20 2018 - 3:01AM
UK Regulatory
TIDMHSTN
RNS Number : 2188I
Hansteen Holdings plc
20 March 2018
20 March 2018
Hansteen Holdings PLC
("Hansteen" or the "Company")
Proposed Return of GBP145 million of Capital
(Representing 35 Pence per Ordinary Share)
and
Notice of General Meeting
Hansteen (LSE: HSTN), the investor in UK industrial property, is
today posting a circular to its shareholders containing full
details of a proposed return of c. GBP145 million of capital and
notice of a General Meeting convened for 11.00 a.m. on 11 April
2018.
Highlights
-- On 5 February 2018, the Company announced that it had agreed
to dispose of the Industrial Multi Property Trust portfolio for
GBP116 million to an entity owned by Warehouse REIT plc, with
completion expected to occur at the end of March 2018.
-- On 13 March 2018, the Company announced that the Secretary of
State for Transport had acquired Saltley Business Park, Birmingham
from a subsidiary of the Company, by way of compulsory purchase. As
part of the CPO process the Group has received an initial advance
payment of GBP36.96 million with a mutual valuation process
underway designed to establish the property's aggregate market
value.
-- The Group's cash balance of GBP71.2 million at 31 December
2017 is therefore expected to rise significantly.
-- Owing to the current high level of demand for industrial
property investments, opportunities to reinvest these substantial
cash deposits in properties that fit the Hansteen business model
are likely to be limited. As the cash deposits would earn virtually
no interest and therefore materially dilute the returns from the
business, the Board considers that returning capital to the
shareholders by means of a Reduction and Return of Capital is in
the best interests of all Shareholders.
-- The Company proposes to reduce its share premium account and
cancel its capital redemption reserve by an aggregate amount of c.
GBP145 million and pay such amount to the Shareholders as a Return
of Capital.
-- The effect of the proposed Reduction and Return of Capital
will be that for every fully paid Ordinary Share held at the Record
Date, a Shareholder will receive 35 pence in cash.
-- The proposals are conditional upon the approval of
Shareholders at a General Meeting of the Company to be held at
11.00 a.m. on Wednesday 11 April 2018 at 21 Tudor Street, London
EC4Y 0DJ and approval of the Court.
Ian Watson and Morgan Jones, Joint Chief Executives of Hansteen,
said: "While opportunities to acquire properties or portfolios from
which we can generate value are likely to be limited, we continue
to see good potential to drive further value growth both through
increasing income from our remaining portfolio by improving
occupancy and growing rental levels and capitalising on the demand
for industrial assets from the investment market."
EXPECTED TIMETABLE OF EVENTS
Event Time/date
Publication of this document 20 March 2018
Latest time and date for receipt 11.00 a.m. on
of Forms of Proxy 9 April 2018
General Meeting 11.00 a.m. on
11 April 2018
Court Hearing 1 May 2018
Record Date for Return of Capital 6.00 p.m. on
2 May 2018
Ordinary Shares commence trading 8.00 a.m. on
ex-entitlement to Return of 3 May 2018
Capital
Registration of Court Order 3 May 2018
and Effective Date of Return
of Capital
Despatch of cheques to Shareholders On or around
or Shareholders' CREST accounts 11 May 2018
credited (as appropriate) in
respect of Return of Capital
entitlements
Copies of the Circular will be submitted to the National Storage
Mechanism and will shortly be available for inspection at:
http://www.morningstar.co.uk/uk/NSM. In addition, the documents
will be available on the Hansteen website (www.hansteen.co.uk) and
may also be obtained from the Company Secretary.
This summary should be read in conjunction with the full text of
the Circular. Unless otherwise stated, terms used in this
announcement have the same meanings as given to them in the
Circular.
Enquiries:
Hansteen Holdings PLC Tel: +44 (0)
Ian Watson 20 7408 7000
Morgan Jones
Peel Hunt (Sole Broker) Tel: +44 (0)
Capel Irwin 20 7418 8900
Edward Fox
Tavistock Tel: +44 (0)
Jeremy Carey 20 7920 3150
Kirsty Allan 07836 734 625
07824 393 242
Important notices
This announcement contains inside information.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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