1st May 2008 07:01
NETeller PLC01 May 2008 NETELLER Plc UPDATE ON PROPERTY DISPOSAL Thursday, 1 May 2008 - NETELLER Plc (LSE: NLR), the independent global onlinepayments business, provides the following update on the disposal of the Group'sprincipal property in Calgary, Canada. The Group has been continuing discussions with Leben Investment Corporation toachieve improvements to the transaction for the benefit of both parties. The Group's subsidiary NT Services Building Corp. signed a revised saleagreement on 30 April 2008. This agreement states that closing will now occuron 30 June 2008 and also provides for the Group to receive two furthernon-refundable stage payments in addition to the non-refundable deposit of C$1.3million received to date. An amount of C$2 million was received by the Group on30 April 2008, and a further amount of C$1 million is scheduled to be receivedby the Group on 31 May 2008. The revised sale agreement is in the bestinterests of the Group and will provide a positive P&L impact by minimisinglease costs on vacant space (which it is intended will be subleased in the nearfuture). The balance of the consideration is to be paid to the Group on the revisedclosing date of 30 June 2008. The stage payments, totalling C$4.3 million, willbe deducted from the purchase price of C$33.5 million (approximately US$ 33.5million) upon closing. Ron Martin, President & CEO, commented "This agreement marks the successfulconclusion of a lengthy process of negotiations with Leben InvestmentCorporation and the board is pleased with the outcome. The revised closing dateof 30 June 2008 allows the Group a period during which it can maximise itsreturn from under-utilised space in the property prior to its sale." Enquiries: Andrew Gilchrist + 44 (0) 1624 698 713VP Communications, NETELLER PlcEmail: [email protected] Citigate Dewe Rogerson + 44 (0) 207 638 9571Sarah Gestetner / Seb Hoyle / George Cazenove Daniel Stewart & Co Plc + 44 (0) 207 776 6550Paul Shackleton * * * * * Notes to Editors The NETELLER Group Trusted by consumers and merchants in over 160 countries to move and managebillions of dollars each year, the NETELLER Group operates the world's leadingindependent online payments business. Through its NETELLER, NETBANX, and 1-Paybrands, the Group specialises in providing innovative and instant paymentservices where money transfer is difficult or risky due to identity, trust,currency exchange, or distance. Being independent has allowed the Group tosupport thousands of retailers and merchants in many geographies and acrossmultiple industries. NETELLER Plc is quoted on the London Stock Exchange's AIM market, with a tickersymbol of NLR. NETELLER (UK) Limited is authorised by the Financial ServicesAuthority (FSA) to operate as a regulated e-money issuer. For more informationabout the Group visit www.netellergroup.com or contact us by email [email protected]. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Paysafe Group