REG - Palace Capital PLC - Sale of Maidenhead office property for £9.6m

Palace CapitalAnnouncement

02/08/2023 07:00

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RNS Number : 9789H  Palace Capital PLC  02 August 2023

2 August 2023

Palace Capital plc

("Palace Capital" or the "Company")

Sale of Maidenhead office property for £9.6m

Palace Capital announces that it has sold 22 Market Street, an office property
in Maidenhead to a client of Soor Capital for £9.6m. The sale price reflects
a net initial yield of 7.3%, equating to a net price of £9.0m (after rent
incentives), which is 9.7% ahead of the 31 March 2023 book value.

Following the sale and the use of some of the proceeds to repay £3.5m of bank
debt, gross debt will be £20.2 million and cash reserves will be £20.1
million resulting in a net debt position of £0.1 million.

Commenting on today's announcement, Steven Owen, Executive Chairman said:

"The selective sales of properties such as Maidenhead demonstrate the steps we
are taking to reduce debt and leverage in line with our strategy of maximising
cash returns to shareholders.

"The Company will provide further updates on significant sales and strategic
initiatives to facilitate returning cash to shareholders later in the year,
the timing of which will depend on the completion of future sales. The
Company's share buyback programme continues, following renewal of the
authority at the recent Annual General Meeting."

 

Palace Capital plc
Steven Owen, Executive Chairman / Matthew Simpson, Chief Financial Officer
info@palacecapitalplc.com (mailto:info@palacecapitalplc.com)

Financial PR
FTI Consulting

Dido Laurimore / Giles Barrie

Tel: +44 (0)20 3727 1000

palacecapital@fticonsulting.com

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