10th Mar 2010 12:43
Engel East Europe N.V.
Trading Update
Further to the announcement made on 20 November 2009, Engel East Europe N.V. ('Engel East Europe' or 'the Company'), the AIM-quoted Central and Eastern European ('CEE') residential property developer (EEE:LN), regrets to announce that its financial condition remains weak and that it is unable at the moment to meet its obligations to its employees and service providers.
As part of its efforts to receive additional interim funding, Engel East Europe has approached Azorim with a request for financial support. No agreement has yet been reached with Azorim regarding this assistance.
In addition, the Company has been notified that a group of investors is currently examining the possibility of investing in Engel Resources and Development Limited ("ERD"), which owns 100% of the Company's immediate parent, Engel General Developers Limited. The investors are in the process of performing a due diligence exercise on ERD and its subsidiaries (the "Group"). If the investment is made, the Company expects that the investors will provide financial support to the whole Group, including Engel East Europe. However it cannot be guaranteed that the investment will take place or that sufficient funding support will be provided to Engel East Europe even if the investment is made.
A further announcement will be made in due course.
ENDS
Enquiries:
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Engel East Europe N.V. |
Tel: +31 20 778 4141 |
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Samuel Hibel |
Tel: +972 99707024 |
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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 |
|
Simon Bloomfield or Andy Harris |
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