In the statement the company representatives say: Company Meridian Properties N.V. Informs, that due to unfavourable market situation, it has decided to call off the public offer and plans of debut on Warsaw's Stock Exchange.
Registered in Netherlands company of REIT type was supposed to have its debut on Warsaw Stock Exchange by the half of October 2013. The estimated value of the offer was about 170 million Euro. The offer was directed towards professional investors in Poland and institutional investors abroad.
These funds were supposed to be allocated to purchase of three office real estates in Warsaw. Two transactions were in advanced stage of negotiations, but their completion was depending on IPO's success. The first location, completed in 2013, offers 16 500 msq of fully rented space. The second building, created in 2012 has 16 000 msq of space. Is used in 85 %.
The offer was also supposed to finance the purchase of primary portfolio, including nine real estates in six major cities in Bulgaria, Czech republic, Hungry and Romania. Six of them are modern Office buildings, while three – commercial locations. The total rentable space in these locations is 103 572 msq which include 63 286 msq of office space. Buildings are taken in 97 % by companies, such as Kraft, Eurohold, Lufthansa, Citibank, and Eureko. For the purpose of purchase the primary portfolio, Meridian Properties wanted to give 87,7 million Euro.
The rest of the funds received from the offer were to be allocated to payment of loans connected with the primary portfolio described above (17 million Euro). Entering the stock exchange was supposed to cost 8 million Euro.