26th Sep 2019 13:29
(Alliance News) - Dolphin Capital Investors Ltd on Thursday said it continued with its divestment strategy in the first half and was buoyed by good news from two of its portfolio holdings receiving construction permits.
At June 30, the real estate investment company's NAV per share, after deferred tax liabilities, stood at EUR0.18, unchanged from December 31.
The company's net asset value, however, slipped 3.0% to EUR160 million from EUR165 million six months prior.
Dolphin Capital is currently in its divestment period, which is scheduled to end in 2021, following a shareholder vote in May to extend the period by two years.
Since the adoption of the initial disposal strategy in 2016, Dolphin Capital confirmed six asset disposals at an aggregate enterprise value of about EUR344 million. The company has also reduced its debt by more than EUR210 million in the period and achieve "important permitting and entitlements decisions for its remaining asset portfolio".
The company' net debt stood at EUR22.8 million at the end of the period.
Dolphin Capital Founder Miltos Kambourides said: "We are working closely with the board to devise and implement a realistic exit strategy for each remaining asset. We expect that the development of the One&Only at Kea Resort and Kilada Hills Golf Resort will unlock their intrinsic value."
Chair Andrew Coppel added: "The commencement of construction at the One&Only at Kea Resort and the expected commencement of development of the Kilada Hills Golf Resort are key steps towards the successful implementation of the company's divestment strategy, as these two maturing projects, together with the company's strategic shareholding in Aristo Developers, are fundamental to the realization of tangible value for our shareholders in the medium term."
Coppel continued: "We are also encouraged by the further reduction of the group's overall loan liabilities through the discounted settlement of the Apollo Heights loan. The total debt reduction is in excess of EUR210 million since June 2016, which together with the restructuring of the fixed investment management agreement costs, has further reduced our cost base."
Shares in Dolphin Capital were trading flat in London on Thursday at 4.93 pence each.
By Paul McGowan; [email protected]
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