Valad has denied a suggestion that it is considering unraveling its European platform and looking for equity backers to launch a company buyback in Australia at about five times the price of its shares on the Australian Stock Exchange.
Valad has denied a suggestion that it is considering unraveling its European platform and looking for equity backers to launch a company buyback in Australia at about five times the price of its shares on the Australian Stock Exchange.
In response to a request from the stock exchange for comment on the newspaper report, Valad said: 'The group will look at all opportunities to enhance security holder value, and will keep security holders and the market fully informed of any developments as they may occur. Valad has no specific knowledge of any potential company buyback at 20 cents per security.'
On the suggestion it might ditch its UK acquisitions, Valad said it had 'not received and is not considering any such proposal'.
The Sydney-based listed property trust established its European presence in 2007 with the EUR 1.1bn acquisition of the UK-based investor/developer Scarborough group, led by Sheffield United Football Club chairman Kevin McCabe. The transaction included the fund management business Teesland, which was majority owned by Scarborough.
But in the last 12 months Valad has seen its share price drop over 97% on the Australian Stock Exchange prompting management moves to shore up the business and sell off assets to reduce debt. The company's share was trading at AUD$0.047 on Thursday.
