25th Jul 2019 18:38
(Alliance News) - Plaza Centers NV on Thursday said there is still "no clarity" regarding payment from a local investor for the sale of a site in Bangalore, India.
Elbit Plaza India Real Estate Holdings Ltd, a 50% owned subsidiary of Palza Centers, agreed to sell its 100% interest in the special purpose vehicle which owns the site.
This week, the undisclosed purchaser has paid an additional EUR127,000 - of which Plaza Centers' entitlement is EUR63,000 - out of the around EUR3.1 million to be paid until July end.
"The purchaser seeks more time without committing to a schedule for payment of the remaining amount. At this stage, there is no clarity on payment of the remaining amount. The company is taking necessary legal steps to protect its interest," said Plaza Centers.
So far, the purchaser has paid around EUR11 million to Elbit - Plaza Centers' share being around EUR5.5 million - out of the EUR45.4 million consideration. Elbit is entitled to forfeit this payment if the purchaser does not close the transaction as agreed.
Plaza Centers noted that the purchaser has also mortgaged around 8.7 acres of plots as security on completing the deal.
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