The negotiations between the parties have been successfully concluded, resulting in NEPI Rockcastle entering into an agreement with AFI Europe on 6 August 2020 to dispose of 100% of the shares in the subsidiaries holding the Romanian office portfolio.
In accordance with the provisions of the new agreement, the completion of the disposal is expected to occur within no more than four months, with the completion date to be set by the purchaser. The purchaser has paid to the sellers a cash advance of €15 million as guarantee for finalizing the completion.
The terms of the new agreement are substantially in line with the initial agreement (as announced on 17 December 2019), and accordingly, the disposal consideration remains unchanged, with a transaction value of €307 million and an estimated cash consideration of approximately €290 million, to be adjusted based on the subsidiaries’ financial statements as of the date of completion.
The traded office portfolio includes 8 class A office buildings in Romania, located within four projects: Floreasca Business Park, Lakeview and Aviatorilor 8 in Bucharest and City Business Centre in Timisoara, with a total leasable area of 118,500 square meters. (source: NEPI Rockcastle)
