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Baltic Sea Properties AS completes acquisition of Grandus shopping center in Klaipeda, Lithuania

May 23 2022

Oslo, 23 May 2022. Baltic Sea Properties AS (“BALT” or “the Company”, and together with the Company’s subsidiaries, “BSP”) refers to the stock exchange announcement on 1 April 2022 and the update given in the Company’s Q1 report 20th May 2022 concerning the letter of intent (LOI) for the acquisition of a neighborhood shopping centrally located in Lithuania’s third largest city, Klaipeda, of approx. 11,400 square meters, from Baltic Equity Group UAB, etc.

The company’s subsidiary UAB “Baltic Sea Properties Holding LT has now signed and completed the acquisition of 100% of the shares in UAB Prekybos centras Grandus for an agreed company value of MEUR 11.3. The purchase price of MEUR 6.6 is settled on the basis of the Company’s existing and released cash from refinancing of the Shopping center (MEUR 2.6 with settlement by 27 May 2022) and by the seller granting a seller credit of MEUR 4.0 (interest 8.0% p.a) to be settled within 12 months.

Background for the transaction:

Grandus is a neighbourhood shopping center of approx. 11,400 m2 which is located along one of the main access road to the center of Klaipeda. Additionally, the center is located in the immediate vicinity of a larger residential area that ensures good access to visitors every day. The company has an ambitious growth strategy and the property is thus a good addition to the company’s existing portfolio. The transaction immediately provides a good and secure cash flow and we look forward to managing and further developing the center in the time ahead.

The main shareholder in Baltic Equity Group UAB is the current chairman of the board and primary insider in Baltic Sea Properties, James Andrew Clarke. The transaction is carried out in accordance with the arm’s length principle and valuation have, among other things, been obtained from third-party valuator who prices the property higher than the transaction value.

For more information, please contact:

Lars Christian Berger
phone: +47 930 94 319