Picton Prop Inc Ltd Completion of Asset Disposal

 
TIDMPCTN 
 
31 August 2016 
 
                        PICTON PROPERTY INCOME LIMITED 
                   ("Picton", the "Company" or the "Group") 
 
                         COMPLETION OF ASSET DISPOSAL 
 
Further to its announcement on 12 July 2016, Picton (LSE: PCTN) confirms that 
the disposal of one of its City of London office assets, Boundary House, Jewry 
Street, EC3 completed on 30 August 2016. 
 
The disposal proceeds of GBP27.8 million were in line with the June 2016 
valuation and will be used to reduce debt, recognising the Company's zero 
dividend preference share maturity in October 2016. 
 
In addition and in a separate transaction, the Company has secured a payment of 
GBP0.67 million from a nearby owner, in respect of a Rights of Light claim. 
 
As a result of this disposal, Picton's central London office exposure will 
reduce from 19% on 30 June 2016 to 15.5% on a pro forma basis. Similarly, the 
Group's LTV will reduce from 34.4% on 30 June 2016 to 31.5% on a pro forma 
basis. 
 
The property was acquired in 2006 for GBP16.1 million. 
 
Michael Morris, CEO of Picton Capital commented: 
 
"This disposal forms part of a plan to reduce both the quantum and overall cost 
of debt within the Group, as we repay our ZDP's this October.  By completing 
these two transactions we will be able to achieve this, reshaping the portfolio 
whilst enhancing both dividend cover and NAV." 
 
                                     ENDS 
 
For further information: 
 
Tavistock 
Jeremy Carey/James Verstringhe, 020 7920 3150, jverstringhe@tavistock.co.uk 
 
Picton Capital Limited 
Michael Morris, 020 7011 9980, michael.morris@picton.co.uk 
 
Note to Editors 
 
Picton is an income focused property investment company listed on the London 
Stock Exchange. Picton can invest both directly and indirectly in commercial 
property across the United Kingdom. 
 
With Net Assets of GBP418.0 million at 30 June 2016, the Company´s objective is 
to provide shareholders with an attractive level of income, together with the 
potential for capital growth by investing in the principal commercial property 
sectors. www.picton.co.uk 
 
 
 
END

(END) Dow Jones Newswires

August 31, 2016 02:00 ET (06:00 GMT)

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