Baltic Horizon Fund has signed an agreement with ECRE IV (Lux) S.a.r.l. to sell the entire share capital of the BH Duetto UAB company which owns the Duetto I and II office buildings in Vilnius, Lithuania.
The sale amounts to around €37 mln, which is close to the latest valuation, the vendor said.
The fund first acquired the properties in 2017 and 2019 from an international developer and has since realized an IRR of 13.7% from this investment.
The proceeds of the transaction will be used mainly to partially redeem the new bond and invest into the centrally located assets of the Fund, the vendor added. Closing of the transaction is expected to take place at the latest by 12 June 2023.
‘We continue to implement the investment strategy of Baltic Horizon Fund. Taking into account economic cycles, financial markets and the opportunities provided by the development of capital cities, we shall reduce the financial obligations of the Fund and redirect investment flows towards the upgrade of the unique properties in the Fund's portfolio,’ commented Fund manager Tarmo Karotam.
