REG - abrdn Euro Logistics - Portfolio Sales Update

abrdn European Logistics IncomeAnnouncement

11/07/2025 07:00

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RNS Number : 6423Q  abrdn European Logistics Income plc  11 July 2025

abrdn European Logistics Income plc
LEI: 213800I9IYIKKNRT3G50

Portfolio Sales Update

11 July 2025 - abrdn European Logistics Income plc (the "Company" or
"ASLI"), the Company which is invested in a diversified portfolio of European
logistics real estate, announces the sale of two further assets as part of its
managed wind-down.

Sale of Warehouses in Erlensee and Florsheim, Germany

The Company announces that it has successfully concluded the sale of its two
multi-let warehouses located in Flörsheim and Erlensee, Germany, for an
aggregate property value of approximately €66.5 million, representing a
c.10% premium to the Q1 2025 valuation.

Both assets are located in the Frankfurt Rhine-Main area, one of Germany's
strongest economic regions and offer modern, flexible, high-quality
accommodation.

The 26,700 square metre property in Erlensee Langendiebach logistics hub, near
Frankfurt, was developed in September 2018.

The 17,809 square metre asset in Flörsheim Logistics Park, Frankfurt, was the
Company's first acquisition post-launch in January 2018. The property
comprises a high-quality urban logistics estate constructed in 2015.

Debt Financing

As at 31 March 2025, the Company's fixed rate debt facilities totalled €218
million, with an average all-in interest rate of 1.93%. These sales were
structured as SPV disposals, allowing the associated secured debt provided by
DZ Hyp Bank of €30.2 million to transfer with the two properties. The
Company also repaid the €11 million loan with Berlin Hyp which expired in
June 2025. As a result, the Company's outstanding fixed rate debt has reduced
to €176.8 million with an all-in-interest rate of 2.05%.

Continued Sales Progress

In line with the Shareholder approved managed wind-down, the Company's
investment objective is 'to realise all existing assets in the Company's
portfolio in an orderly manner' and to return net proceeds following the
repayment of debt to Shareholders.

The Company is currently engaged in advanced discussions regarding the sale of
fifteen further assets, through a combination of individual asset disposals
and portfolio transactions. The Board expects exchange of contracts for a
number of these anticipated disposals in the coming weeks. Subject to the
successful completion of these transactions and repayment of associated debt,
the Board anticipates making a second capital distribution to Shareholders by
mid August 2025.

The final seven assets are at various stages of the sales process, with
completions targeted from Q4 2025 onwards. The Investment Manager continues to
assess ongoing asset management initiatives and engage with tenants to
identify opportunities where the Company can enhance value in advance of
potential disposals. Active and direct engagement with parties interested in
acquiring prime logistics space is ongoing.

Shareholders are reminded that, as the managed wind-down progresses and
further asset disposals are completed, the Company's income will decline
accordingly. As a result, future dividend payments are expected to reduce and
be limited to the level necessary to maintain investment trust status.

Details of the Company and its property portfolio may be found on the
Company's website at: http://www.eurologisticsincome.co.uk

 

For further information please contact:

Aberdeen
                                  +44 (0) 20 7156 2382

Ben
Heatley
 

Investec Bank
plc
                +44 (0) 20 7597 4000

David Yovichic

Denis Flanagan

FTI
Consulting
+44 (0) 20 3727 1000

Dido Laurimore

Richard Gotla

Oliver Parsons

 

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