You are here

Sale of Orphanides plots to CPB

23/07/2012 10:53
Orphanides sold two more properties to Cyprus Popular Bank against €4.25 million.

The Company announced that within the framework of the actions for the restructuring and reduction of the Group’s borrowing, the subsidiaries Stalico Investments Limited and Chris-Ell-Dim-El Limited proceeded with the sale of properties to Joberco Limited and Steparco Limited of Cyprus Popular Bank Public Co Ltd.

The Company has already sold plots of €12 million to Bank of Cyprus.

Stalico Investments Limited sold a property held in Nicosia to Joberco Limited. The sale price stands at €2,790,000. Chris-Ell-Dim-El Limited sold a property in Larnaca against Steparco Limited. Its sale price stands at €1,460,000.

Each company reserves the right to buy back either the shares of each buyer and/or the properties at the same price as the sale price plus the transfer expenses for 2 years. Also, for the same period they have the right of first refusal.

The sale price of properties has been set on the basis of 2 independent valuations made on behalf of the buyers by C. Zakheos Property Valuations Ltd and Kikis Athinodorou & Associates Ltd (property valuators).

From the above sale, the Group is expected to suffer loss in its net worth of €2.6 million (Loss presented in the profit and loss account of €2.7 million plus surplus from revaluation of properties transferred via the reserves of €0.1 million).

The loss emerges from the drop in the purchasing power of properties as a result of the ongoing financial crisis.