21st Mar 2014 10:45
LONDON (Alliance News) - Formation Group PLC saw its shares jump to lead the AIM market Friday as the firm said an agreement has been reached between Julius Properties Ltd and housebuilder Redrow PLC over a title issue relating to a mixed use development near Aldgate East tube station, London.
The dispute cast doubt upon Julius' ability to repay JV Finance Ventures Ltd's investment into the site. Formation holds a 36.9% stake in JV Finance Ventures.
The construction and property development and management business said the agreement for 1 Commercial Street means first three instalments due under the agreement have been received by JV Finance.
The remaining sums are due in April, May and June will be paid to JV Finance as previously agreed.
The stock was trading at 2.10 pence Friday morning, up 0.62 pence or 42.4% making it the biggest gainer on AIM.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
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