Citycon's Non-core Property Portfolio Transaction Finalised
On 20 July 2006, Citycon agreed to sell a portfolio of non-core properties to a
fund managed by Kenmore Property Group Limited. Closing of such transaction took
place today. One property that was originally part of the deal was excluded from
the final transaction, so the total number of sold-off properties came to 75 and
the final purchase price to EUR 73.8 million. After the transaction, Citycon's
Supermarkets and Shops portfolio will consist of 52 properties in Finland.
The fair value of the sold-off properties totalled EUR 67.9 million on 30 June
2006. Citycon will book a gain on sale before taxes of EUR 5.8 million in the
third quarter. The positive impact of the transaction to the company's 2006 EPS
is approximately EUR 0.01 and to 2006 profit approximately EUR 2.1 million taking
into account the gain on sale, transaction costs, lost net rental income for the
fourth quarter and taxes.
The transaction has been described in greater detail in the company's stock
exchange release issued on 20 July 2006 and interim report issued on 21 July
2006, available at the company's homepage www.citycon.fi.
Helsinki, 2 October 2006
For further information, please contact:
Harri Holmström, Chief Investment Officer
mobile +358 40 845 5726
Petri Olkinuora, CEO, tel. +358 9 6803 6738 or
mobile +358 400 333 256
Citycon is the Finnish market leader in the shopping centre business. It owns a
total of 19 shopping centres in the Helsinki Metropolitan Area and other regional
centres of Finland, and twelve shopping centres and retail properties in the
Stockholm and Gothenburg regions in Sweden. In the Baltic countries, Citycon owns
the Rocca al Mare shopping centre in Tallinn, Estonia and Mandarinas shopping
centre in Vilnius, Lithuania.
In addition to the shopping centres, Citycon owns 52 supermarket and retail
premises in Finland.
Helsinki Stock Exchange