VGP heads for worst day ever after delaying joint venture closure

VGP NV

03/10/2022 08:17

** Shares in VGP  VGP1.BR  slump more than 15%, on track for
their worst day ever, after the Dutch real estate group decided
to postpone the seed portfolio closing of the Europa Joint
Venture  urn:newsml:reuters.com:*:nFWN311189
    ** "As today's limited transparency on pricing makes it
difficult to come to an agreement, we prefer to let the current
volatility in the market sink-in first," VGP's CEO said on
Friday
    ** "We have decided to step away from the opportunity to
monetize our Europa seed portfolio this year and we will
reevaluate once a calmer environment has returned," he added
    ** VGP expects to decide on the timing of the Europa seed
portfolio closing next year, after evaluating all its financing
options
    ** "A substantial fourth JV would have been necessary if
development starts would have continued at 800k sqm per
semester," KBC Securities says in a note
    ** The stock of VGP is down around 68% year-to-date
 (Reporting by Juliette Portala)
 ((juliette.portala@tr.com))