You are here

CLR: Agreement with Lomnio for the sale of Tufton

We wish to inform you that CLR Capital Public Limited (CLR) has agreed with Lomnio Holdings Limited for the sale of its stake in Tufton Oceanic, which amounts to 54.09%, following the recent restructuring of the Group.

The main terms of agreement are the following:

a. The sale price will be the ratio of 54.09% on the net assets of Tufton Oceanic as at 31.12.2004 as this will be set in the audited accounts of the Group at the minimum price of US$3.651.000.

b. Tufton Oceanic transfer to CLR a 54.09% of the stake held in an insurance company on an international basis. The value of the shares transferred to CLR is expected to exceed US$1.000.000 based on the net assets of the Company.

c. CLR will have an option within the period of two years from the completion of the agreement to buy back 20% at the price that will be set on the basis of the net assets of the Group. CLR has the right to sell the option to a third party. If exercised or sold, this option will give the opportunity to CLR to take advantage of the possible increase in the value of the Group.

d. Until the completion of the agreement after the approval of the audited results of Tufton Oceanic for 2004, the shares will be held by the trustee.
Since the sale price will be set after the approval of the audited results of Tufton Oceanic, any profit or loss will be calculated at that time and the relevant announcement will be issued.

Buyer Lomnio Holdings Limited belongs half to Ted Kalborg, a company controlled by the Managing Director of Tufton Oceanic and half to Interorient. Mr. Adonis Papadopoulos, who is the Executive Chairman of Interorient and member of the Board of Directors of CLR has expressed his interest to the Board of Directors of CLR and he did not participate in the decision taking.

The decision for the sale of the above stake was taken by the Board of Directors of CLR within the framework of the reorganization of the Group to concentrate in the sector of Investment Banking. The sale has been carried out after an offer submitted by Lomnio Holdings Limited.

Monday, 29 November, 2004 - 09:50