REG - Home REIT PLC - Response to announcement from Southey Capital Ltd

Home ReitAnnouncement

04/12/2024 12:15

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RNS Number : 8124O  Home REIT PLC  04 December 2024

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INDIRECTLY, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE
A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION

FOR IMMEDIATE RELEASE

 

4 December 2024

 

Home REIT plc

 

Response to announcement from Southey Capital Ltd

 

Home REIT plc ("Home REIT" or the "Company") notes the announcement by Southey
Capital Ltd ("Southey") on 3 December 2024 concerning a tender offer for the
Company's shares at 4 pence per share (the "Tender Offer"). The Board of Home
REIT wishes to note that it has not been contacted by Southey in respect of
the announcement and cannot comment on its validity. The Board also notes that
Southey wishes to avoid a mandatory offer under the Takeover Code and
therefore aims to restrict acceptances to any legal and regulatory limit that
may impose a requirement to make a mandatory offer.

The Company has adopted a managed wind down strategy with a view to making
timely returns of capital to shareholders upon completion of the sale of the
remaining property portfolio, although the ability of the Company to make
distributions to shareholders may be constrained whilst the Company faces
potential shareholder litigation and an FCA investigation.

As announced on 14 October 2024, the Company remains committed to seeking a
restoration of the Company's shares to trading on the London Stock Exchange as
soon as practicable upon publication of the half-year and annual accounts for
the years ended 31 August 2023 and 31 August 2024. The Company intends to
publish historical accounts for the year ended 31 August 2023 by the end of
2024, with the results for the year ended 31 August 2024 following in the
first quarter of 2025. The financial information to be published by the
Company will provide shareholders with an updated property valuation and net
asset value per share ahead of the expected restoration of trading in its
shares.

The Tender Offer values the Company at approximately £32m. Further to the
announcement on 28 November 2024, the Company has now made full repayment of
its debt with a further payment of additional fees to its lender being made
this month, at which point the lender will release its charge over the
Company's assets. The Company's remaining property portfolio of 850 assets is
currently being marketed for sale, quoting in excess of £175m. In addition,
the Company has exchanged on properties for which gross proceeds of £17m are
expected to be received with such funds, in addition to rental income, being
available to fund the Company's operational expenses and fees in the medium
term including the payment of the additional £9m fee to the lender.

 

FOR FURTHER INFORMATION, PLEASE CONTACT:

 

 FTI Consulting (Communications Adviser)  HomeREIT@fticonsulting.com

 Dido Laurimore                           +44 (0)20 3727 1000

 Bryn Woodward

 Oliver Harrison

 

The Company's LEI is: 213800A53AOVH3FCGG44.

 

For more information, please visit the Company's website: www.homereituk.com
(http://www.homereituk.com/)

 

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