26th Mar 2020 07:51
(Alliance News) - Capital & Counties Properties PLC said Thursday it has temporarily suspended its GBP100 million share buyback programme, as part of its efforts to conserve cash amid the Covid-19 outbreak.
The London and Johannesburg-listed property firm said the majority of retail and food & beverage outlets in its Covent Garden estate will be closed, which is expected to disrupt income over the course of 2020.
In addition, Capco said it will propose several solutions for its customers, including a movement from quarterly rental payments in advance to alternative arrangements, or the deferral of rental payments for certain cases.
The group said it was too early to determine the full impact of these proposals on rental income and property valuations.
Financially, Capco said it has a strong balance sheet, with a total cash position of GBP250 million, with a further GBP120 million to be received from the Earl's Court sale. In addition, Capco has access to GBP700 million in committed undrawn facilities.
Shares in Capco were up 5.6% at ZAR33.44 on Thursday in Johannesburg, while its London shares have not started trading yet.
By Dayo Laniyan; [email protected]
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