Vastned launches share buyback programme for up to € 40 million
Vastned Retail N.V., the listed European retail property company focusing on ‘venues for premium shopping’, today announces that it starts to repurchase ordinary shares for a total amount of up to € 40 million.
The share buyback programme will be effected in the period from 19 October 2018 up to and including 31 March 2019, or as soon as € 40 million of our own shares have been repurchased. The share buyback programme will be effected under the authorisation granted by Vastned's general meeting of shareholders on 19 April 2018.
The objective of the share buyback programme is to generate return for the shareholders. Currently, investment opportunities for core city assets that Vastned can add value to are limited, and the yields on this kind of property are at a historic low level. The Executive Board of Vastned feels that at this point investing in the company’s own shares is the best alternative to generate return for the shareholders. Vastned will keep the repurchased shares as treasury shares.
Vastned has engaged an independent broker to execute the share buyback programme on its behalf. The timing of any buyback transaction will be determined by the broker independently of, and without influence from, Vastned.
As the execution of this share buyback programme will depend on market conditions, the full amount may not be reached. The share buyback programme will be funded from Vastned's available credit facilities, whereby the loan-to-value ratio will remain between 35% and 45%.
An update on transactions executed under the share buyback programme will be published on a weekly basis by means of a press release and on Vastned’s website via www.vastned.com/sharebuyback.
Vastned is a listed European retail property company (Euronext Amsterdam: VASTN) focusing on venues for premium shopping. Vastned invests in selected cities in Europe with a clear focus on the best retail property in the most popular shopping streets in the bigger cities. Vastned's tenants are strong and leading international and national retail brands. The property portfolio has a size of approximately € 1.6 billion as at 30 June 2018.