Vivacon to sell assets due to 'acute liquidity crisis'

Vivacon, the German listed residential real estate investor, plans to sell property assets and investments in response to an 'acute liquidity crisis'. Vivacon blamed the ongoing capital market crisis and the market environment for its difficulties.

The company said it was negotiating with its creditor banks about extension agreements and the opportunity for an 'extrajudicial restructuring concept'. Vivacon announced it had cut the size of its management and supervisory boards and had applied to change its listing on Frankfurt Stock Exchange from the Prime Standard position to the General Standard. The latter has less rigorous conditions, allowing Vivacon to publish interim statements rather than more official quarterly reports.

Vivacon said it could not yet give a publication date for its 2008 financial statements.