Formation Group JV receives payment for Aldgate development

4th Jul 2014 14:22

AIM-listed Formation Group jumped on Friday after announcing the money owed to its joint venture (JV), Finance Ventures, by Redrow in relation to the Aldgate East Property Development has been received. Formation, which holds a 36.88m stake in the JV, said it expects to receive £6.8m for its share of the payment. To-date, it has been paid £1.59m, with the majority of the final amount due to be used either to fund futures purchases of development properties or will be used to support its working capital requirements. The share price jumped 17.24% to 1.70p by 10:08. NR