Related Party Transaction • Jul 10, 2015
Related Party Transaction
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RomReal : Sale of plot and related party transaction disclosure.
RomReal's Board has agreed a sale of 1,956 square meters of the Balada Market
property (total area 7,188 square meters) in Constanta. The price agreed is EUR
275 per square meter and in line with the most recent Knight Frank IFRS
valuation.
RomReal is expected to collect the net price of about EUR 537,900 meaning that
any VAT and/or commissions will be covered by buyer. The bulk of the proceeds
from this potential sale are projected to reduce the Alpha Bank loan.
The present cash flow stream from the Balada market is not expected to be
affected significantly from this potential sale since the land in question is
part of the market's parking space and does not affect the operation of the
market.
The aforementioned sale is considered by the Company as a related party
transaction since RomReal and Westhouse Group CEO, Mr. Kay Thorkildsen, is
taking part with a 40% stake in the consortium that is making the purchase
offer. The Company is taking all the appropriate steps to ensure that this
transaction is done at an arm's length principle and in a transparent manner.
The disposal is in line with the Company's strategy and the Board is confident
further transactions to materialize.
For further information please contact:
Harris Palaondas
Investor Relations
www.romreal.com
+40 731123037
This information is subject to the disclosure requirements pursuant to section
5-12 of the Norwegian Securities Trading Act.
[HUG#1936299]
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