6th Jun 2014 09:41
LONDON (Alliance News) - Alpha Pyrenees Trust Ltd Friday said it has sold property in both France and Spain as it looks to provide security for its loans from Barclays Bank PLC and to give it working capital to support its operations.
In a statement, the commercial real estate investor said it has sold a multi-let warehouse and office investment in Vitry-sur-Seine, a southeastern industrial and residential suburb of Paris, to an unnamed private French investment company for EUR5.7 million. The property was sold at a 7.5% profit to book value.
Additionally, the trust has sold the larger of its two vacant warehouses in Zaragoza, Spain for EUR1.3 million, representing book value. The sale was made to an unnamed private Spanish company, which will occupy the warehouse.
Last year, the trust secured a EUR25.0 million loan from Barclays in order to finance currency hedges signed in 2006 and 2007 that later turned against it. With financing secured, the trust is looking to recover, focusing on securing and growing its income.
Alpha Pyrenees shares were Friday quoted at 5.12 pence, up 7.8%.
By Samuel Agini; [email protected]; @samuelagini
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