12th May 2010 12:39
Engel East Europe N.V.
Project Update
12 May 2010 - Further to the announcement made on 6 January 2010, Engel East Europe N.V., the AIM-listed Central and Eastern European property developer (EEE:L), today announces that it has been informed that the court of first instance in Hungary (the Metropolitan Court) has determined Engel-Projekt Kft. insolvent and rendered the commencement of the liquidation procedure.
There is no recourse under the bank loan to the parent company, Engel East Europe N.V. Arces International B.V ("Arces"), a joint venture, in which the Company has 50% shareholding, has signed a guarantee in respect of a bank loan received by Engel Projekt Kft, which owns the Gyor project in Hungary, for a total of approximately €11.8 million. Based on the Company's best knowledge this guarantee may be disputed.
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Enquiries:
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Engel East Europe N.V. |
Tel: +972 (9) 970 7004 |
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Samuel Hibel |
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Libertas Capital Corporate Finance Limited |
Tel: +44 (0) 20 7569 9650 |
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Sandy Jamieson |
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Bankside Consultants |
Tel: +44 (0) 20 7367 8888 |
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Simon Bloomfield or Andy Harris |
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