XXI Century developer raises $38 mln loan from DCH subsidiary for Vyrlytsia complex in Kyiv
KYIV. Nov 13 (Interfax) - XXI Century Investments (Cyprus), the holding company of the XXI Century development group (Kyiv), has raised a loan of $38 million from subsidiary DCH IMMO Limited (DCH), owned by businessman Oleksandr Yaroslavsky, according to a developer report on the London Stock Exchange.
Under the loan agreement, Pamigton Holdings Limited, a subsidiary of DCH IMMO, will provide these funds to Barwen Holding Limited, a subsidiary of XXI Century. The developer intends to issue warrants for Ovaro Holding Limited, which owns 58.26% of XXI Century and belongs to DCH IMMO and Bremille Investments Limited, controlled by Director General of XXI Century Oleh Salmin.
The loan was raised at 15% per annum. It can be transferred in tranches and should be repaid within five years of the funds being used.
These funds will allow the developer to start the first phase of the development of its key project of the Vyrlytsia multifunctional complex, which is to be constructed on Bazhana Avenue in Kyiv.
According to the report, the developer's shareholders intend to approve the issue of warrants at an annual general meeting scheduled for December 6, 2012. If such a decision is not made until December 31, 2012, the loan agreement will be terminated and the developer will have to return all the funds received under the contract.