Equest Balkan Prop: Breach of Covenant | Company Announcements

Friday 13 March, 2009

Equest Balkan Prop

Breach of Covenant

RNS Number : 8282O

Equest Balkan Properties PLC

13 March 2009

Equest Balkan Properties plc ('EBP')

Breach of Covenant

EBP announces that its subsidiary SC. Rivium Galeria Mall SRL., owner of Moldova Mall in Iasi, Romania, is in breach of covenants contained in a non-recourse mortgage loan made in 2006 by Bank Austria Creditanstalt AG.

SC. Rivium Galeria Mall is a single asset 100% subsidiary of EBP and this breach is not expected to impact any of EBP's other assets or borrowings.

At the time of the last published valuation of EBP's assets Moldova Mall represented 4% of NAV.

Bank Austria Creditanstalt AG has issued a default notice and the parties are in active discussions, the outcome of which will be announced.

EBP is not aware of any other pending breaches of financial covenants by EBP or any subsidiary.

For further information please contact:

Equest Partners (for Equest Balkan Properties)

+44 20 7240 7600
Michael Uhler
Naomi Kora

KBC Peel Hunt Ltd - NOMAD

+44 20 7418 8900

Capel Irwin

Alex Vaughan

Arbuthnot Securities Limited

+44 20 7012 2000

Alastair Moreton

Hannah Pearce

This information is provided by RNS

The company news service from the London Stock Exchange

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