First Property offloads two Poland supermarkets

7th Dec 2022 16:06

(Sharecast News) - First Property Group has sold two supermarkets in Poland, it announced on Wednesday, for €6.2m, on behalf of funds it manages in which it has an 88.5% interest.

The AIM-traded firm said the sales price represented a gain of around €0.85m, or 16%, against the aggregate book value of €5.35m.

It was also a gain of about €0.13m against the aggregate market valuation of €6.07m on 31 March.

The pre-tax profit earned on the disposals, after sales costs, amounted to €0.78m (£0.67m).

First Property said the cash released following the repayment of the bank loan secured against them was €2.59m, which would be held for reinvestment.

"I am pleased by the disposal of these supermarket assets in a difficult market environment," said chief executive officer Ben Habib.

"The cash released further strengthens the group's finances.

"It is intended that this cash will be reinvested in due course."

At 1352 GMT, shares in First Property Group were up 2.55% at 24.1p.

Reporting by Josh White for Sharecast.com.