Redefine part-sells interest in Cromwell Property Group

Johannesburg  – 1 September 2014, Biznews. 

Redefine International, the income-focused UK Real Estate Investment Trust ("UK-REIT"), today announced its disposal of 54.24 million securities in its Australian associate company Cromwell Property Group for £30,66-million.

The deal – which reduces Redefine's holding in Cromwell from 13,13% to 9,99% – reflects a surplus of just over £2-million (on the 24 February 2014 interim value).

Redefine's Cromwell interest is held through its 100% held subsidiary, Redefine Australian Investments.

"We have achieved excellent returns from our investment in Cromwell and remain a committed shareholder," says Mike Watters, CEO of Redefine International.

Cromwell, a stapled security listed on the Australian Stock Exchange ("ASX"), comprises the Cromwell Diversified Property Trust and Cromwell Corporation Limited. Redefine International says the Cromwell transaction is in line with its objective of recycling its capital into new high yielding opportunities where it can use its asset management expertise to extract value on behalf of shareholders. The proceeds ofthe sale will be used to further strengthen the company's cash position and for general investment purposes – suitable opportunities for which are currently under consideration.

"The sale is in line with our objective of recycling capital across the different partsof the Company's diversified portfolio, enabling us to take advantage of a number of new and exciting UK and European based investment opportunities which support our income focused strategy," Watters concludes..