7th Feb 2019 16:54
LONDON (Alliance News) - Pub chain Ei Group PLC said on Thursday it has received shareholder approval for the sale of 370 properties to Davidson Kempner Capital Management LP for GBP348 million.
At a general meeting held on Thursday, Ei shareholders voted nearly unanimously in favour of the deal.
Back in mid-January, Ei, formerly known as Enterprise Inns, had agreed to sell the property portfolio, comprising public houses and other commercial properties to the investment manager, in line with Ei's strategy to cut its debt levels and consider returns to shareholders.
Completion of the first tranche of the properties disposal is expected to be completed in early March.
"We are pleased today to receive the strong support of our shareholders for the disposal. We believe it delivers an excellent result for our shareholders and is in line with our strategy of delivering attractive and sustainable returns by unlocking the embedded value and optimising the returns from every asset within the business," said Ei Chief Executive Officer Simon Townsend.
Shares in Ei Group closed down 3.9% at 200.00 pence on Thursday.
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