LONDON, Dec 20 (Reuters) - London-listed Indian property
group Unitech Corporate Parks <UCP.L> said on Thursday it hoped
to sell three key assets to sister firm Unitech Office Trust,
which is eyeing a Singapore stock market flotation.
The news sparked a 7.62 percent rise in the shares of
Unitech Corporate Parks (UCP) to 113 pence by 1112 GMT.
UCP said it would consult shareholders on proposals to sell
three business park development projects from its 622.2 million
pounds ($1.24 billion) seed porfolio to the proposed Singaporean
real estate investment trust (REIT) for a minimum 234.1 million
pounds.
UCP said a sale at this level reflected an average internal
rate of return of 38.9 percent which compared with a target of
25 percent set out in its prospectus when it floated in 2006.
Proceeds from the disposal would be reinvested in Indian
commercial property development and investment opportunities,
UCP said.
News of the proposed sale coincided with publication of
UCP's maiden first-half results for the six months to
end-September.
The firm reported a 46.6 percent rise in adjusted net asset
value to 1.90 pence a share as a result of strong leasing and
development activity and continued growth in Indian property
prices.
The company also said it would also seek shareholder
approval to broaden its investment sphere to include retail and
hospitality sectors, where directors believe there are good
opportunities to generate shareholder value.
((See www.reutersrealestate.com for the new global service
for real estate professionals from Reuters))
(Reporting by Sinead Cruise; Editing by Quentin Bryar)
(([email protected]; +44 (0)207 542 5154; Reuters
Messaging: [email protected]))
($1=.5015 Pound)
($1=.5015 Pound)
($1=.5015 Pound)
($1=.5015 Pound)
Keywords: UNITECH/