Peel transactions: results of General Meeting
On 25 January 2012, the Company announced that it had agreed terms on two proposed transactions (the “Transactions“) with the Peel Group:
- Acquisition for £4.7 million from Clydeport Properties Limited of a 30.96 acre site known as King George V Docks (West) adjacent to intu’s shopping centre at Braehead, Glasgow, which offers significant opportunities for future development in relation to the shopping centre and leisure activities at Braehead (”the KGV Acquisition“); and
- Acquisition for €2.5 million from Peel Holdings Limited of a three year option (”the Option“) alongside a refundable deposit of €7.5 million to purchase two parcels of land in the province of Malaga, Spain; an approximately 60 acre site which has initial planning consents for the construction of a high-class regional shopping centre and leisure development, and an adjacent approximately 14 acre site which is earmarked for possible future development.
The Option gives intu continuing access to a considerable opportunity to secure a prominent site at a relatively low cost and with minimal risk. Intu will have a three year period to assess the opportunity and monitor market conditions. In the event that intu decides to exercise the Option, further consideration will become payable as described in a circular to shareholders (the “Circular“) to be published today. However, should intu wish to exercise the Option, intu would expect, subject to applicable law and regulation in force at the time, to be required to seek further approval from shareholders at that time. The Option is pursuant to a provision in the original documentation relating to the acquisition of The Trafford Centre.
In addition to the information contained in the Circular, photographs of both sites which are the subject of the Transactions are available.
As John Whittaker, Deputy Chairman and Non-Executive Director of intu Properties, is connected with the Peel Group, the Transactions are conditional upon the approval of shareholders. Accompanying the Circular was a notice of general meeting held on Friday 17 February 2012 at 11.00 a.m.. GMT. The Board recommended that shareholders should vote in favour of the Transactions. At the General Meeting the resolutions in respect of both transactions were approved by shareholders. Full details of the outcome of the meeting are available.
Any additional information relating to the transactions with Peel will be published on this page as it becomes available.